Analyst: Powell's speech increases focus on non-farm payroll data and may impact Fed rate cut expectations

ChainCatcher news, according to Jinse Finance, Commerzbank foreign exchange analyst Antje Praefcke pointed out that Powell's speech at the Jackson Hole annual meeting emphasized the downside risks facing the economy and employment, and that current labor market data is receiving much more attention than usual.

If labor market data falls short of expectations, it may boost expectations of a Federal Reserve rate cut, and could even trigger market anticipation of a 50 basis point rate cut. If tomorrow's ADP data comes in below expectations (market consensus is 80,000), it could lay the groundwork for bearish sentiment on the US dollar.