Read the highlights of this week’s commentary from Helios:
- The US experienced significant job growth in March, with nonfarm payrolls increasing by 303,000, marking the most substantial rise in nearly a year. The unemployment rate decreased to 3.8% from 3.9% in February due to more individuals entering the workforce.
- The report indicates ongoing challenges in the final phase of disinflation, and swaps contracts show just a 51% probability of a rate cut in June after Federal Reserve Presidents indicated that the number of rate cuts this year could range from zero to two.
- The March ISM Manufacturing Purchasing Managers’ Index (PMI) showed manufacturing unexpectedly rose into expansion territory for the first time since September 2022, and input costs rose to their highest level since July 2022.
- Last week, Brent crude oil prices climbed above $90 a barrel for the first time since October due to escalating conflicts in the Middle East, particularly after Israeli Prime Minister Benjamin Netanyahu announced operations against Iran and its allies, heightening concerns over global crude supply disruptions.
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