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US economy smashes expectations with 254,000 jobs added in September

Figure prompts traders to increase bets Federal Reserve will slow pace of interest rate cuts
Friday’s US jobs report suggests the Fed is on course to pull off a so-called soft landing for the US economy

The US economy added 254,000 jobs in September, smashing expectations and prompting traders to increase bets that the Federal Reserve will lower interest rates at a slower pace after a jumbo cut last month.

The figure from the Bureau of Labor Statistics was above expectations of economists polled by Reuters of 140,000, and compared with an upwardly revised gain of 159,000 jobs in August.

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