Jobs data set to pave way for rates path, stocks
The coming week will give investors a fresh view into the health of the U.S. economy with the release of a closely watched employment report that could help determine the trajectory of interest rates in the months ahead. Part of that performance has been fueled by expectations that the Federal Reserve will continue cutting interest rates into next year, after reducing borrowing costs by 75 basis points in 2024. But uncertainty over the Fed’s rate trajectory has increased in recent months as a spate of robust economic data - including a blowout jobs report for September - stirs concerns that inflation could rebound if the central bank lowers rates too far, undoing two years of progress in tamping down prices.
