Strong nonfarm payroll data weakens rate cut bets; analysts predict the Federal Reserve will not cut rates until June

Golden Ten Data April 3—According to foreign media reports, due to strong U.S. labor market data, the market has reduced its bets on the Federal Reserve cutting interest rates this year. U.S. Treasury prices fell, pushing yields up by 3 to 5 basis points, with the policy-sensitive two-year Treasury yield leading the rise. Earlier, the market's expectation for the Federal Reserve to ease monetary policy this year was only about 1 basis point, compared to around 4 basis points before the report was released. David Robin, rate strategist at TJM Institutional Services LLC, stated that the Federal Reserve is "highly likely to keep rates unchanged until the end of June, or even longer." He added: "This is data from before the conflict erupted, but even so, it indicates a higher benchmark for (rate cuts)."