The futures market prices nearly an 80% chance of a Fed rate hike at the next meeting. MarketWatch columnist Michael Kramer argues the October jobs report could change how markets view the Fed's path, including the two further hikes now priced in.
Futures markets price in nearly an 80% chance of a Fed rate hike at its next meeting, which puts the October jobs report at a pivotal moment, writes Michael Kramer, founder of Mott Capital Management.
Kramer says the report could significantly shape how markets view the Fed's policy path, at least until the November jobs report arrives in the first week of December.
A strong report would leave the Fed in a better position to focus solely on its inflation mandate, according to Kramer. It may also mean the market needs to rethink the two additional hikes it currently prices in.
Source: MarketWatch (snippet-based)
Trading involves risk.
Risk Disclaimer
