November 10, 2015

US Jobs and the Fed

Friday’s non-farm payrolls data revealed that the US economy added an impressive 271,000 new jobs in October. This exceeded expectations, with nearly 100,000 more people finding work than had been forecast.

Unemployment fell to 5%, a seven and a half year low, with average hourly wage growth moving ahead to 2.5% year on year.

The market is now factoring in a 75% chance of a December rate hike from close to evens ahead of Friday’s print!