U.S. employment data seem to confirm that the labor market is still hovering around its equilibrium point, Edmond de Rothschild Asset Management's Michael Nizard and Nabil Milali say in a note. Job creation is still enough to prevent the unemployment rate from rising and to continue supporting household consumption, but not enough to generate wage pressures that could lead to a further rise in inflation, they say. "We believe these statistics will provide a strong argument for the Federal Reserve's most dovish members to maintain the status quo and rule out the risk of a rate hike as early as the July meeting." Inflation figures will be decisive in settling this debate once and for all, but they believe that caution will ultimately prevail. (emese.bartha@wsj.com)
Dow Jones Newswires
U.S. Labor Market Still Seen Around Equilibrium Point — Market Talk
U.S. employment data seem to confirm that the labor market is still hovering around its equilibrium point, Edmond de Rothschild Asset Management's Michael Nizard and Nabil Milali say in a note. Job creation is still enough to prevent the unemployment rate from rising and to continue supporting hous…