Market Analysis: There are almost no signs of weakness in the US economic data, and the Federal Reserve (FED) will not cut interest rates this week.

GateUser-6433627c · 2025-05-05T13:36:10+00:00

David Kohl, an economist at Julius Baer, believes that the U.S. economy is strong, with good performance in the April non-farm payroll data. He pointed out that the U.S. labor market data has not been negatively affected by economic policies, with new jobs and low unemployment rates driving a rise in private consumption. It is expected that the Federal Reserve will not cut interest rates and may ignore negative survey data, waiting for economic weakness before taking action.

GateUser-6433627c

2025-05-05 13:36:10

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On May 5, David Kohl, an economist at Julius Baer Bank, stated that the U.S. economy shows almost no signs of weakness. Following the release of the April non-farm payroll report, he said: “The unstable and restrictive economic policies in the U.S., including the introduction of high tariffs, have not yet had the anticipated negative impact on labor market data.” The economist pointed out that better-than-expected job growth and low unemployment rates have driven a sustained strong rise in private consumption. Kohl added that the data is very solid and the Federal Reserve is not expected to cut interest rates this week. Kohl mentioned that the Federal Reserve might ignore negative data from survey indicators and wait until the economy shows signs of weakness before taking action. (Jin10)

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