tl;dr
The most anticipated U.S. employment data for May revealed that 272,000 jobs were added, surpassing market expectations. The unemployment rate increased to 4%, higher than anticipated, while U.S. hourly wages rose by 0.4%. The strong job data could impact potential interest rate cut decisions by the...
U.S. Job Data: Impact on Markets and Cryptocurrency The most anticipated U.S. employment data for May revealed that 272,000 jobs were added, surpassing market expectations. The unemployment rate increased to 4%, higher than anticipated, while U.S. hourly wages rose by 0.4%. The strong job data could impact potential interest rate cut decisions by the Federal Reserve. However, the higher unemployment rate contrasts with the increased non-farm employment, affecting market sentiment.
The U.S. job data has also influenced the performance of the crypto market and led to changes in trader sentiment. The upcoming U.S. inflation data, FOMC interest-rate decision, and bond yields will continue to shape market sentiment. Additionally, the Labor Department's report caused a decline in Bitcoin price, reflecting the impact of the latest data on investors' risk appetite.
According to Bureau Of Labor Statistics data, the U.S. added 272,000 jobs in May, after adding 175,000 jobs in the prior month. The unemployment rate soared to 4% from the prior month and was up from the market expectations of 3.9%. On the other hand, U.S. hourly wages increased by 0.4% in May, after soaring 0.2% in the prior month.
The U.S. Job data paints a mixed picture with both the unemployment rate and non-farm employment increasing in May. Following the job data, the U.S. 10-year Bond Yield rose 3.32% to 4.421, while the U.S. Dollar Index jumped 0.56% to $104.630. However, the latest report by the Labor Department has caused a slump in Bitcoin price from a 24-hour high of about $72,000 to $70,875.25 in just a few minutes.
Now, the market will keep a close watch on the next week’s key inflation data including the U.S. Consumer Price Index (CPI) and Producer Price Index (PPI). In addition, one of the most crucial events next week, the FOMC interest-rate decision, will play an important role in shaping the market sentiment.