Strong September Jobs Report Spurs Markets But Adds to Recession Fears

U.S. jobs report showed stronger than expected job growth in September, fueling expectations of more Fed interest rate hikes.

Treasury yields surged after the report, bruising stocks and pushing mortgage rates to highest levels in over 20 years.

Some analysts saw positive signs like unchanged unemployment rate and moderate wage growth.

Markets questioned veracity of report due to contrast with ADP data showing much weaker job growth.

Fed funds futures traders added to bets on more rate hikes this year and higher rates in 2023 after jobs report.