Jul 11 2016

Rate Range Projection by Bank

Next week 98.50 –103.00
Next 3 months 95 - 105.00

The below is a topic from market news

U.S. labor market nearing full strength, but Fed seen wanting more

U.S. employers have been adding enough jobs over the last six months to put the economy on track to full employment by the end of this year, but that prospect alone is unlikely to get the Federal Reserve to step on the brakes with interest-rate hikes.

A team of researchers at the Chicago Fed, headed by Dan Aaronson, estimated in April that the U.S. economy was about a million jobs shy of the Feds full employment goal.

Junes outsize jobs gain, reported Friday, lifts the average monthly jobs increase over the past 6 months to 172,000. While thats a step down from the 200,000 or more jobs added monthly last year, it still well outpaces the 50,000 new jobs a month needed to accommodate population growth, based on Aaronsons estimate. That puts the economy on pace to reach full employment by December.

But Fed officials have already suggested that uncertainty over the global impact of Britains intended withdrawal from the European Union will keep them on policy hold for the time being.

Wall Streets top banks unanimously expect the Fed to leave interest rates unchanged at their next two meetings in July and September and are almost evenly split over whether there will be a rate rise by year end, a Reuters poll on Friday showed.