Fed Unexpectedly Cuts Rates by 50bps: Where Does Global Economy Go?

Australia's Job Market: Part-time Jobs Shine, Confidence Abounds When Australia's employment report was released, it was like a dose of reassurance for everyone.

In August, the number of employed people rose by 47,500, a significant increase from the expected 26,000, especially in part-time jobs, which were particularly booming.

The unemployment rate remained steadily at 4.2%, and the participation rate also held at a historical high.

Kate Lamb, the diligent head of the Bureau of Statistics, said this indicates what?

It shows that Australians are bold and energetic, eagerly joining the workforce and finding jobs.

Employers are also not lagging behind, actively recruiting to fill vacancies, and this economic vitality is robust!

Despite the positive job market, rumors of a rate cut by the Reserve Bank of Australia are flying around.

Everyone is speculating whether the central bank will take advantage of this good momentum to bring some tangible benefits.

Traders are eagerly waiting, thinking that good news of a rate cut might come in December; economists are more cautious, believing that the matter won't be clear until 2025.

However, our central bank governor, Ms. Michelle Bullock, is unequivocal, pouring cold water on everyone, saying a rate cut in the near future is impossible!

She knows what she's doing; the current policy is just right.

She'll hold a press conference next Tuesday, let's see how she elaborates.

The Federal Reserve Cuts Rates by 50 Basis Points, Market Reactions Vary Looking at the United States, the Federal Reserve has made a big move by cutting rates by 50 basis points, which is much more aggressive than expected.

But the new bond king, Gundlach, already had an idea, saying he anticipated this move.

Why?

He said that the U.S. economy might have already started to decline, and a rate cut is inevitable.

He also joked that the Federal Reserve is now in step with the bond market, but it's probably not feeling very comfortable.

Why?

Because the bond market's yield is steadily around 3.5%, which is sending a signal to the Federal Reserve.

Gold and Currency Markets Roil, Investors Have Mixed Feelings With the Federal Reserve's rate cut, the gold and currency markets are in turmoil, extremely lively.

Gold first rose sharply, almost breaking through the $2,600 mark, but then it fell back dramatically, truly unpredictable.

The US dollar/Japanese yen also experienced twists and turns, with expectations of a rate hike by the Bank of Japan looming like a mountain, and the Federal Reserve's rate cut adding fuel to the fire, but in the end, it was Powell's words that brought it back.

The Australian dollar, on the other hand, benefited a bit from the Federal Reserve, with a small increase, but as the US dollar index rebounded, it was pushed back down.

Data Release, Today's Highlights After all this excitement, we still need to look at what new data has been released today.

In the United States, the second-quarter current account, initial jobless claims, the Philadelphia Fed's manufacturing index, and the annualized total of existing home sales are all key points of interest.

The Bank of England is not idle either, with an interest rate decision and meeting minutes to be announced tonight, which directly affects the exchange rate of the pounds in our pockets.

Friends, the global economy is like our weather, it can change at any moment.

Today it's clear skies, tomorrow it might be cloudy.

We must always stay alert, listen to expert opinions, observe market trends, and don't let our wallets drift away with the market's ups and downs.