The Odds of a September Rate Hike Just Jumped. Should You Still Buy the S&P 500?

After last week’s stronger-than-expected jobs report, the odds of a Fed rate hike at the next meeting jumped from roughly 35% to nearly 60%, according to the article. The next catalyst is this week’s Consumer Price Index (CPI) inflation report, which could push expectations higher. The U.S. economy added 162,000 jobs in August, beating expectations, and the unemployment rate held at 4.1%. June and July figures were revised upward as well, suggesting a more resilient labor market. The S&P 500 fell on Friday, anticipating that higher rates could weigh on future growth.