Market Wire, North America

The US job creation engine sped up in May, further diminishing odds on a rate cut before the November election. According to data released by the Bureau of Labor Statistics this morning, 272,000 jobs were added in the month, solidly overshooting the 175,000 consensus forecast, and remaining well above the 120,000 that is generally believed sufficient to mechanically offset net growth in the labour force. Revisions to prior months saw overall gains lowered by a total 15,000 positions. The unemployment rate ticked higher to 4 percent, breaking a 28-month stretch below the 4 percent threshold, and wage gains accelerated, exacerbating...

The Federal Reserve’s preferred inflation measure came in as forecast in April, but underlying price pressures cooled, slightly raising odds on an easing cycle beginning in the autumn months. Data released by the Bureau of Economic Analysis this morning showed the core personal consumption expenditures index rising 0.3 percent in April from the prior month, matching market forecasts. On a year over year basis, base effects saw core price growth stabilising at 2.8 percent, the same as in March, aligning with economist estimates. The overall personal consumption expenditures index was up 0.3 percent from the prior month, 2.7 percent higher...