Reserve

Jerome Powell

Prime

Bitcoin

The US job market soared past expectations in January with the addition of 353,000 jobs. This strong showing has dampened prospects of an interest rate cut around March. 
The job growth, alongside adjustments that <a rel="nofollow" href="https://www.bls.gov/news.release/empsit.nr0.htm">added</a> another 126,000 jobs to the tallies of November and December—with December’s figures revised up to 333,000—signals a stronger-than-expected labor market. 
<h2 id="span-data-preserver-spaces-true-job-market-data-beat-expectations-span">Job market data beat expectations</h2> 
Forecasts had initially set the January job increase at half the actual figures. The unemployment rate held steady at&nbsp;<a class="editor-rtfLink" href="https://coingape.com/breaking-u-s-unemployment-rate-unchanged-at-3-7-more-jobs-added-in-december/" target="_blank" rel="noopener">3.7%</a>. The job growth spanned across various sectors, including service, healthcare, and retail trade. 
The impact of these figures was immediately felt in the financial markets as Treasury yields jumped, indicating a reduced likelihood of a Federal Reserve rate cut at least until May. 
Previously, investors had anticipated a rate cut as early as March, but the&nbsp;<a class="editor-rtfLink" href="https://coingape.com/breaking-us-fed-keeps-interest-rates-unchanged-after-two-day-meeting/" target="_blank" rel="noopener">Federal Open Market Committee (FOMC)</a>&nbsp;has since moderated those expectations.The rate change decision in March took on added weight as it preceded the Bitcoin halving event slated for April 2024. Any stimulus before this pivotal moment in the crypto calendar had the potential to elevate Bitcoin’s value moving forward. 
<h2 id="fomc-sentiments-aligned-with-us-economic-data">FOMC sentiments aligned with US economic data</h2> 
The Federal Reserve has opted to keep rates steady for the moment. Chair Jerome Powell emphasized the importance of future rate cuts and keeping caution on the economic front. 
Meanwhile, the S&amp;P 500 was mostly flat as the dollar gained strength after the data was released. 
That said, the global crypto market cap remained stable at $1.74 trillion, as per CoinGecko. Major cryptocurrencies like Bitcoin and Ethereum held their values above $43,300 and $2,300, respectively, at press time. 
The anticipation of a post-halving rally for Bitcoin following April adds another layer to price gains if rate cuts materialize in May. Such monetary policy adjustments could positively influence Bitcoin’s performance. 
Also Read:&nbsp;<a class="editor-rtfLink" href="https://coingape.com/us-manufacturing-output-signals-delay-in-rate-cuts-will-crypto-see-a-downturn/" target="_blank" rel="noopener">US Manufacturing Output Signals Delay in Rate Cuts; Will Crypto See a Downturn?</a> 
The post <a href="https://coingape.com/us-job-surge-eases-rate-cut-rush-could-prime-bitcoin-only-for-post-halving-climb/">US Job Surge Eases Rate Cut Rush, Could Prime Bitcoin Only for Post-Halving Climb</a> appeared first on <a href="https://coingape.com">CoinGape</a>.

US Job Surge Eases Rate Cut Rush, Could Prime Bitcoin Only for Post-Halving Climb

Table of Contents

Coingape News Media

Other articles published on Feb 2, 2024

Bull Token Price Prediction: BULL Soars 99% As This New GameFi Star Rockets Past $8 Million

The dominance of Tether is dangerous for the crypto universe – According to JPMorgan

Tech titan Musk’s Twitter takes a playful turn into Dogecoin territory

24 Crypto Update, 01 Feb: Cryptocurrencies Surge After Dip

The Missing Part of Biden’s AI Order

Bitcoin Price Eyes Parabolic Rise In 2024 But Has Q1 Altcoin Hype Cycle Started?

Join our free newsletter for daily crypto updates!