CME Group FedWatch shows 36.2% December hike probability

CME Group FedWatch tool, which calculates unconditional probabilities of Federal Open Market Committee (FOMC) meeting outcomes to generate a binary probability tree, shows the probability of a rate hike in December at 36..2% after today's employment report from the U.S. 

Following yesterday's softer-than-expected PCE inflation data, the odds of a rate hike fell to 37.3% on Thursday. Today's disappointing wage growth and NFP figures pushed the chances lower to 36.2%. According to the data released by the U.S. Bureau of Labor Statistics, total nonfarm payroll increased by 156,000 in August and July's number was revised down to 189,000 from 209,000. Moreover, average hourly earnings for all employees on private nonfarm payrolls rose by 0.1%, or 3 cents, to $26.39, after rising by 9 cents in July. 

• US: Total nonfarm payroll employment increased by 156,000 in August