Dow Jones Securities: The likelihood of the Fed resuming rate cuts in October is higher.

Oscar Munoz, Chief U.S. Macro Strategist at TD Securities, said in a report that although the possibility of a Fed rate cut in September appears to be a done deal, a comprehensive shift to rate cuts by the FOMC still needs to meet certain conditions. TD Securities' base case scenario still suggests that the Fed is most likely to resume rate cuts in October, as the process of deterioration in the labor market is expected to take longer to complete. He noted that the nonfarm payrolls report for July released last Friday highlighted the increasing risks of rapid weakness in the labor market conditions, with the bond market reacting by pricing in a close to 90% possibility of a rate cut in September and further easing before the end of the year.