Strong jobs report reduces likelihood of rate cut this summer

The chances of a Fed rate cut this month plummeted after a strong June jobs report. The economy added 147,000 jobs, exceeding expectations. Trump administration criticism of the Fed chair increased. Investors reduced the odds of an interest rate cut, with a 6.7% chance post-report. Markets expect a rate cut in September. Stocks rose slightly and the S&P 500 hit a new record. Bond yields increased, indicating higher rates. Powell is likely to keep rates steady despite political pressure. Critics speculate Trump’s criticism may solidify Powell’s stance.

Read more at Yahoo Finance: The jobs report has dashed hopes of a rate cut this summer