(Finance) – The United States employment report for November shows “on the one hand slightly better numbers than expected on employment (but distorted by the reversal of the effect of hurricanes and strikes), on the other a albeit slow increase in unemploymentand in a context of contraction of the workforce”. This was stated by analysts at Intesa Sanpaolo after the publication of the Bureau of Labor Statistics report.
Overall, therefore, the November jobs report is “probably less strong than it appears at first glanceand does not represent an obstacle for a further rate cut by the Fed on December 18th, nor for the continuation of the path of
gradual approach of monetary policy towards a territory of neutrality”, states economist Paolo Mameli.
The current basic scenario of Intesa Sanpaolo sees 100 basis points of denominations of fed funds between now and mid-2025 (against the approximately 70 currently priced by the market).
(Photo: Nik Shuliahin on Unsplash)