Strong US Jobs Report Fuels Expectations for September Fed Rate Hike

Following a stronger-than-expected US August employment report, which showed 162,000 jobs added against a consensus of 55,000, market expectations for a 25 basis point Federal Reserve rate hike at the September 15-16 meeting have risen to above 60%. Hawkish comments from Cleveland Fed President Beth Hammack on September 4 further reinforced the sentiment for the central bank to act on inflation.