Review of the week: 7 May 2024

Fading strength in the labour market and services businesses have increased hopes that interest rates can still be cut this year. Everybody is watching the Fed watch the data.

Quick take:

• Job growth slowed in the US to 175,000 in April while the unemployment rate rose 0.1 of a percentage point to 3.9%
• US government bond yields fell back as investors hope the economy will cool, reducing inflation
• The UK is expected to officially break out of recession, with 0.4% growth forecast for Q1 

 The Review of the week is for use with all clients, IFAs and professionals.