Huatai Securities: The better-than-expected non-farm payrolls in March indicate resilience in the U.S. labor market. Inflation is currently the core variable in the Federal Reserve's monetary policy.

金色财经_ · 2026-04-04T03:07:46+00:00

Golden Finance reports that on April 4, Huatai Securities believes that the unexpectedly strong rebound in March non-farm payrolls shows the resilience of the U.S. job market. However, amid the conflict in the Middle East, the effect of high oil prices on inflation expectations is more crucial to the Federal Reserve’s monetary policy. In recent days, the conflict in the Middle East has continued to intensify; the crude oil supply gap caused by the blockade of the Strait of Hormuz has pushed up oil prices and inflation expectations. At present, inflation is the core variable in the Federal Reserve’s monetary policy. The Federal Reserve’s dual mandate of employment and inflation gives it some room to maneuver, helping it avoid rate hikes aimed at fighting inflation; and as inflation expectations heat up, even if the Federal Reserve does not raise interest rates, the U.S. Treasury yield curve may move higher, resulting in a tightening of monetary conditions in a substantive sense.(Jin10)

金色财经_

2026-04-04 03:07:46

Golden Finance reports that on April 4, Haitong Securities believes that the rebound in March nonfarm payrolls above expectations shows resilience in the U.S. labor market, but amid conflicts in the Middle East, the impact of high oil prices on inflation expectations is more critical for the Fed’s monetary policy. Recently, the escalation of conflicts in the Middle East has continued; the oil price has been driven up and inflation expectations have risen due to the oil supply gap caused by the Strait of Hormuz blockade. Inflation is currently the core variable in the Fed’s monetary policy. The Fed’s dual mandate for employment and inflation gives it some room to maneuver—avoiding rate hikes to fight inflation—and with inflation expectations heating up, even if the Fed does not raise rates, the Treasury yield curve may move higher, forming a tightening in a practical sense. (Jinshi)

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