Huatai Securities: June non-farm payrolls data falling below expectations may temporarily ease pressure on the Federal Reserve to raise short-term interest rates.

Huatai Securities research report stated that in June, the increase in nonfarm employment in the United States was lower than expected, mainly due to the significant decline in leisure hotels and local government employment that were boosted by Memorial Day and the World Cup earlier. By industry, the growth in nonfarm employment in the service and government sectors has both slowed significantly, while the commodity sector has seen a slight increase. The June nonfarm report eased market concerns about the overheating of the US job market. Leading indicators suggest that employment levels in the next few months will be balanced between 0 and 50,000. The view is maintained that the Federal Reserve will keep interest rates unchanged in the second half of the year and may need to raise them next year.