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US Job Data Fuels Optimism for Rate Cuts and Crypto Market Rally

US Job Data Fuels Optimism for Rate Cuts and Crypto Market Rally

CryptodnesCryptodnes2024/11/01 21:11
By:Cryptodnes

Recent US employment data indicates a modest increase in non-farm payrolls, which rose by only 12,000 in October, significantly lower than the expected 110,000.

Meanwhile, the unemployment rate remained unchanged at 4.1%, aligning with market predictions. Average hourly earnings also saw a 0.4% increase, with a year-over-year rise of 4%.

This employment report has fueled optimism among investors, suggesting a potential rate cut by the Federal Reserve in November. The current job figures typically lead to a more cautious approach from the central bank, which may pave the way for a rate reduction next month.

The job data has also boosted expectations for a rally in financial markets, particularly in the cryptocurrency sector, with hopes for a rebound in Bitcoin and altcoins. Following the report, the US 10-year bond yield fell by over 1%, and the US Dollar Index declined by 0.25%. These trends usually favor digital assets.

READ MORE:
Here is Why Bitcoin’s Price Dropped Today, According to an Analyst

Despite earlier predictions of a stable rate approach, the market is now heavily betting on a 25 basis point cut at the Federal Reserve’s meeting on November 7, with a similar expectation for December. Additionally, the upcoming US elections may further influence cryptocurrency prices, leading analysts to anticipate a positive trend for the market in the near future.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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