The Federal Reserve appears on course to hike interest rates by another 0.75 percentage point this month after Chair Jerome Powell publicly promised to cut inflation even if it leads to a rise in unemployment.
Interest rate futures investors on Wednesday saw a roughly 75 percent chance that the Fed will hike rates by another 0.75 point this month, according to CME Group.
The US job market has remained strong this year, with employers adding 315,000 jobs in August, a sharp gain. While inflation slowed somewhat in July, underlying price pressures and wage growth suggest it could stay well above the Fed’s 2% target for some time.
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