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US jobs growth of 303,000 outstrips forecasts and weighs on rate cut bets

Traders further reduce probability of Federal Reserve starting its policy easing cycle in June

Traders dialled back their bets on imminent Federal Reserve rate cuts after data showed US employers added 303,000 jobs in March, in a further sign of a buoyant labour market and a boost to President Joe Biden’s re-election bid.

The figures released on Friday by the US labour department were much stronger than the 200,000 job gains anticipated by economists polled by Reuters, and higher than those for January and February.

The unemployment rate edged down to 3.8 per cent, compared with a predicted 3.9 per cent.

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