{
  "id": 270638,
  "title": "US Dollar: Weak payrolls cloud Fed path – ING",
  "url": "https://urgent.news/2026/08/07/us-dollar-weak-payrolls-cloud-fed-path-ing",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-08-07T14:39:57.000Z",
  "source": {
    "name": "FXStreet",
    "slug": "fxstreet",
    "url": "https://www.fxstreet.com/news/us-dollar-weak-payrolls-cloud-fed-path-ing-202608071439"
  },
  "original_language": "en",
  "account": "ING’s Chief International Economist James Knightley has pointed out that the disappointing July US jobs report has shifted market expectations away from a September Federal Reserve rate hike. The dollar has weakened and 2-year yields have fallen. Knightley emphasizes that upcoming data – another jobs report, two CPI releases, and the Jackson Hole Symposium – will play a critical role in the Fed’s decision-making process. Despite the weaker-than-expected job numbers, the unemployment rate dipped to 4.1% from 4.2%, mainly due to a decline in the participation rate. Average hourly earnings growth decelerated to 3.2% year-on-year. Market reaction has been pronounced, with 2Y yields declining by 8 basis points and the dollar weakening, while Fed funds futures now only price a 10 basis point rise in the potential 25 basis point increase on September 16. ING's outlook supports a prolonged pause from the Federal Reserve, but warns that the decision will hinge on inflation developments. They anticipate a potential rebound in August job numbers but believe the Fed’s decision will primarily depend on inflation. The July CPI is expected to show a 0.1% rise in headline prices and a 0.2% increase in core prices. Inflation expectations remain favorable, and ING believes the Fed will maintain its hold until 2027. A potential reopening of the Strait of Hormuz may contribute to lower gasoline prices, sustaining the disinflation trend throughout the year.",
  "summary": "ING’s Chief International Economist James Knightley notes that the weak July US jobs report has pushed market pricing away from a September Federal Reserve rate hike, with the Dollar softening and 2-year yields falling.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 2,
    "also_reported_by": [
      {
        "outlet": "FXStreet",
        "title": "US Dollar: Strong payrolls may offer only limited support – BBH",
        "url": "https://urgent.news/2026/08/07/us-dollar-strong-payrolls-may-offer-only-limited-support-bbh",
        "published": "2026-08-07T11:20:54.000Z"
      }
    ]
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}