Strong October jobs report lifts odds of a December Fed hike to about 78%

The economy added 165,000 jobs in October, more than twice what economists expected, and unemployment ticked down to 4.1%. Markets now price about a 78% chance of a quarter-point hike at the Dec. 8-9 Fed meeting.

In this brief: 3 sections 1 min read

- Payrolls rose 165,000 in October, more than twice expectations (Reuters).
- Unemployment ticked down to 4.1%.
- Wages up 3.1% year over year; Aug. and Sept. revised up by a combined 84,000 (Yahoo Finance).
- About 67% on Thursday, Nov. 5.
- About 85% right after the report, then about 78% at the time of writing.
- Traders also pulled forward the expected timing of a final hike from June to April.
- A Fed hike would tend to push deposit rates higher, so stronger odds support today's top savings and CD offers. Market pricing is not a Fed decision; the next meeting is Dec. 8-9.

Read full analysis on finance.yahoo.com

Useful?