Analysts: The case for further Fed rate cuts remains valid

Odaily Planet Daily Report: The seasonally adjusted non-farm employment in the US increased by 227,000 in November, the largest increase since March 2024, exceeding the expected 200,000. The previous value was revised upward from 12,000 to 36,000. The US unemployment rate in November was 4.2%, in line with expectations, compared to the previous value of 4.10%. Analysts said that at first glance, this report does not show signs of economic recession. The job market has not fallen to the bottom, but there are indeed signs of slowdown. Given the Federal Reserve's benchmark interest rate, the upper limit of the target range is 4.75%, more than one percentage point higher than the core inflation rate, and there are still reasons for further rate cuts. The non-farm employment report is one of the last major data sets the Federal Reserve will consider before deciding whether to cut rates for the third consecutive time at the December meeting. Federal Reserve Chairman Powell said this week that the Federal Reserve can be "a little more cautious" on the issue of rate cuts, as the US economy is "in very good shape" and inflation is slightly higher than previously expected. (Gold Ten)