Strong Jobs, Delayed Cuts & Why I Am Still Buying STI ETF & SPYM S&P500 ETF
@koolgal:
🌟🌟🌟The market is in mayhem today, pushed in 3 directions at the same time and none of them are gentle. First, January's non farm payrolls smashed expectations: 130,000 vs 55,000 jobs expected. Unemployment fell to to 4.3% instead of 4.4% expected. A labour market this strong gives the Fed zero urgency to cut. Traders have now pushed the first rate cut from June to July with March rate cut odds collapsing and the probability of no change to above 94%. Second, delayed rate cuts mean the market's upside may stay capped in the near term. Hot jobs mean sticky inflation. Sticky inflation means delayed easing. And delayed easing means the market's upside may stay capped in the near term. Third, geopolitical tensions are simmering, especia