JOLTS data is unlikely to change market expectations for Fed policy outlook

Odaily Planet Daily News Fed Chairman Powell previously said at Jackson Hall Global Central Bank annual meeting that the downside risks faced by the labor market are rising, adding that "the tightening of immigration policies has led to a sudden slowdown in labor growth." Coincidentally, San Francisco Federal Reserve President Daly also pointed out that the Federal Reserve cannot immediately determine whether the price increase related to tariffs is a one-time phenomenon, and waiting for certain evidence may cause damage to the labor market, so the Federal Reserve cannot do so. Although the current market holdings indicate limited downward space for the US dollar, if the JOLTS report shows that the number of job openings has dropped sharply, it may further confirm that the situation in the US labor market has deteriorated, and the US dollar may be under pressure after the data is released. On the contrary, if the data is better than expected, it is unlikely to change the market's existing expectations for the Fed's policy outlook, so the potential boost to the US dollar trend will be very limited. (Jin Shi)