What have you done, Jerome? | What will the week bring?

Last week's NFP report turned out to be extremely optimistic - both analysts and market participants did not expect an increase in employment by as much as 517. and a drop in unemployment to 3,4%. Friday's data show that the US economy is still growing despite higher interest rates.

The NFP report surprised but ...

NFP report definitely strengthens the outlook for consumption, which seems especially good for the dollar. The ISM of services also surprised, as it rose to 55,2 points, although to a large extent this may be a mere methodological error. However, lower energy prices in Europe and a recovery in Chinese PMIs support forecasts of a further rebound in global PMIs. However, the most important event of the past week were the decisions of central banks. The Fed raised interest rates by 25 bp. to 4,5-4,75% and although Jerome Powell has repeatedly mentioned disinflation and no chance for a quick end to the hike cycle, the markets interpreted Wednesday's speech as... quite dovish. However, taking into account the data released last week, the remaining members FOMC they may wish to correct the Powell conference with their statements.

We invite you to a meeting with the Chief Economist XTB Dr. Przemysław Kwiecień, in which he will focus on the key topic of this week - what next for the Fed's monetary policy?

In today's video:

• Banks soften tone - rate cut not so fast?
• What's going on with Big Tech?
• Market liquidity at risk?

WATCH ON-LINE

In addition, due to the very dynamic situation in the world, additional ones will be made available raports Video on the impact of war, pandemic and economic crisis on the global economy.

About the host

Dr Przemysław Kwiecień - Chief economist X-Trade Brokers. Doctor of Economics at the University of Warsaw, graduate of the University of Warsaw and London Metropolitan University (MSc). Holder of the prestigious CFA certificate. He has been working for XTB since 2007, previously he gained experience as an advisor to the Minister of Finance, Mirosław Gronicki, and an economist at Bank Millennium. At XTB, he manages the Analysis Department.

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