After the red-hot September jobs report, markets are pricing in higher odds for the Federal Reserve to hike interest rates at the November meeting.
The Labor Department reported Friday that the economy added 336,000 new jobs, above consensus estimates for 170,000. It also showed wage growth slowed slightly, and unemployment held at 3.8%.
The day before the jobs report, traders saw 20.1% odds the central bank would make a 25 basis point increase to the federal funds rates, according to CME’s FedWatch Tool. That jumped to 29.3% after the latest jobs reading.
