Analyst: U.S. Jobs Report Expected to Support Powell's Labor Market View

BlockBeats News, August 30th, Economists expect that the US Bureau of Labor Statistics' monthly employment report to be released on Friday will show a 55,000 increase in nonfarm payrolls in August, following an unexpected drop in July. If so, this result would roughly align with the average monthly gain so far this year. The unemployment rate is expected to remain at 4.1%. Analyst Anna Wong stated that Powell's hawkish speech at Jackson Hole has raised the possibility of a September rate hike and altered the market's expectations on how to interpret next week's data.

The August nonfarm payrolls report remains a top-tier data point, but the expected soft performance may not have the usual decisive impact. Powell characterized the labor market as being in good health and highlighted that the slowdown in employment growth is often a demographic issue rather than an economic downturn. (FXStreet)