The positive employment report last Friday sent shock waves through the markets that continued reverberating yesterday. Before the jobs number, even though Fed officials had expressed their intent to raise rates in 2015, the constant drip of negative economic numbers made the possibility of a rate hike seem remote. Not anymore.
The chance of a rate move at the December Fed meeting jumped from under 50% to more than 80%. Bonds sold off, stocks wobbled, and the U.S. dollar moved higher as investors came to grips with what the first rate hike in the U.S. in almost a decade might mean.
Stay tuned as we follow this over the next few weeks…
Michael Canet is a Registered Representative with TCM Securities, Inc. and can offer securities through TCM Securities, Inc., Member FINRA/SIPC.