Institution: Non-farm data, whether good or bad, can serve as a reason for Trump to urge interest rate cuts

ChainCatcher news, financial news service provider Newsquawk indicates that the U.S. non-farm payrolls are expected to increase by 129,000 in June, with the unemployment rate expected to remain unchanged at 4.2%. The average hourly wage month-on-month is expected to decrease from 0.4% to 0.3%, while the average weekly working hours are expected to remain unchanged at 34.3 hours.

Powell has stated that the labor market remains solid, but he acknowledged that there has been a "very slow and steady cooling," which is not concerning; Powell also pointed out that strong job creation and labor force participation rates are signs of ongoing economic recovery. This sentiment has also been echoed by other officials. Nevertheless, any "not too bad" employment data could be seized by Trump as a reason for the Fed to cut interest rates; however, any unexpected downturn in labor data could also be used by Trump as a reason for the Fed to cut interest rates.