[U.S. Bond Traders Bet on Fed Rate Hike, Nonfarm Employment Data to Be Key Test] According to a report by Jinse Finance, on June 1, bond traders are focusing on this week's key employment report to validate their bets that the U.S. economy is strong enough to prompt the Federal Reserve to raise interest rates before next year. In addition to developments in the Middle East, another focal point will be the monthly employment data released on Friday, which is expected to show that the labor market remained resilient in May. Coupled with high oil prices and accelerating inflation, this may reinforce market expectations that the Federal Reserve will remove its dovish stance in its June statement. This will mark the first meeting since Federal Reserve Chairman Kevin Warsh took office. Traders anticipate that the Fed will raise interest rates by mid-2027 or even sooner, highlighting how the Iran war has driven energy prices to surge and is overturning previous market expectations that Warsh would quickly cut rates after taking office. Calculations show that since the conflict began, the spike in bond yields has tightened financial conditions by an equivalent of approximately 75 basis points of Fed rate hikes. (Sina Finance)