Strong Jobs Data Triggers Rate Hike Fears, Weakening BTC Prices

The US economy added a robust 162,000 jobs in August, far exceeding the predicted increase of 53,000. This strong employment data led to a boost in the chances of a Federal Reserve interest rate hike, with Fed Funds futures traders pricing in a 58% chance at their September 15-16 meeting.

The Dow Jones Industrial Average fell by 226 points, or 0.4%, and Treasury yields rose across the curve, with the two-year note reaching its highest level since January 2025. Gold prices also pulled back, falling to a session low of $4,380 per ounce.

BTC was impacted similarly, climbing as high as $82,240 earlier in the day but then pulling back more than 2% within minutes of the strong employment data release. The coin traded near $79,300.