Asian markets mostly fell Monday after a forecast-busting jobs report dampened US interest rate cut hopes, with attention now turning to the release of key inflation data this week. The selling followed a retreat in all three main indexes on Wall Street , while investors lowered their expectations for how many cuts the Federal Reserve would make this year.
However, analysts said that while the jobs figures were bigger than hoped, they would not likely cause policymakers to hold off lowering borrowing costs as unemployment ticked up to a two-year high. The reading 'didn't necessarily amount to an 'all-clear' signal for the Fed, but there also didn't appear to be anything in it that would derail its plan to cut rates', said Chris Larkin of E*Trade from Morgan Stanley. And SPI Asset Management's Stephen Innes added that 'the US labor market seems to be in a comfortable zone -- not too hot and not too cold.' 'Reminiscent of Goldilocks's 'just right' porridge.' Traders are now factoring in three rate cuts this year, compared with six that were penciled in three months ag
Asian Markets US Jobs Report Interest Rate Cut Inflation Data Wall Street Federal Reserve Borrowing Costs Unemployment Rate Cuts Labor Market