US Jobs Report and Eurozone Inflation Data Set to Influence Fed Decision

The US jobs report and Eurozone inflation data will be closely watched by financial markets as they determine the likelihood of an October Federal Reserve interest rate hike.

In the United States, the September jobs report is due on Friday, with economists predicting a downward revision to the August number. The low-hire, low-fire narrative remains in place, and a strong August report has already priced in a higher chance of a rate hike in October. Despite this, the unemployment rate is expected to hold at 4.1%.

In the Eurozone, inflation data will also be released on Friday, with eyes on core inflation, which remains steady at 2.4%. The impact of energy prices on inflation will continue to be a focus, and any signs of second-round effects kicking in will be closely watched.