Federal Reserve Meeting Preview at the End of the Month: Can a Weak Labor Market Drive Further Rate Cuts?

2026-01-09 14:20:11

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【ChainNews】The recently released employment data provides the clearest labor market signal in three months—previous government shutdowns disrupted the data release schedule. Now, a pressing issue is in front of us: the unemployment rate has hit a nearly four-year high.

What does this data indicate? On the surface, the labor market is indeed weakening. Interestingly, this softness actually confirms market expectations of a rate cut by the end of 2025. However, the current data is still not enough to make traders restless—at least not sufficient to justify launching a new round of rate cuts this month.

Therefore, the focus now shifts to the Federal Reserve’s meeting at the end of the month. If the data continues to weaken, room for rate cuts may open; conversely, if the labor market stabilizes, the Fed may not be in such a hurry. For those looking to grasp policy expectations, this is indeed worth paying close attention to.

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PensionDestroyer

· 01-10 09:59

The unemployment rate hits a new high, and we have to wait until the end of the month for the meeting. This pace is a bit slow; the market has already reacted, right?

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CommunityLurker

· 01-09 14:48

Unemployment rate hits a new high, and expectations for rate cuts are heating up, but the real test is the meeting at the end of the month. Whether the labor market can stay stable will directly determine how much the Federal Reserve loosens its grip.

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MetaDreamer

· 01-09 14:45

A weakening labor market makes interest rate cuts more likely, but the real test is at the end of the month. Don't rush to get on board.

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blocksnark

· 01-09 14:34

Unemployment rate hits a four-year high—still not intense enough? This pace is really incredible; it feels like the Federal Reserve is betting that the upcoming data will be even more explosive.

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AirdropworkerZhang

· 01-09 14:22

The labor market is weak, but interest rate cuts aren't coming that soon? This pace really can't be sustained anymore.

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