U.S. Jobs Report to Provide Litmus Test for Fed After Rate Cut

From bnnbloomberg.ca

The next U.S. jobs report is more likely to embolden the Federal Reserve to keep this round of interest-rate cuts short and sweet, rather than validate investor views that the economy needs significantly more monetary easing. The Labor Department figures Friday are expected to show payroll gains moderated to a still-solid 165,000 in July, according to the median estimate in a Bloomberg survey. Unemployment probably ticked down to a half-century low of 3.6% and wages remained solid, albeit without accelerating. Such numbers -- arriving two days after Fed policy makers lowered interest rates for the first time in a ... (full story)