Federal Reserve officials appear more likely to cut rates this month after data showed the U.S. labor market remained strong but continued to cool in November, with a deeper debate to come next year over whether to pause further rate reductions.

For many investors, Friday's jobs report confirmed expectations that the Federal Reserve is on track to cut interest rates

The Federal Open Market Committee is most likely to cut interest rates again on December 18 to 4.25% to 4.5%, according to fixed income markets.

The conventional wisdom among economists and traders is that the Federal Reserve is going to cut its benchmark interest rate by another quarter of a percentage point on Dec. 18, and then pause at its first meeting in 2025.

The dollar was edging lower as investors bet on the Federal Reserve cutting interest rates further this month, Swissquote Bank analyst Ipek Ozkardeskaya said in a note. Friday's nonfarm payrolls data

Friday's jobs report virtually cements that the Federal Reserve will approve an interest rate cut when it meets later this month.

The Federal Reserve will almost certainly slash interest rates at its December meeting. Friday’s jobs report sealed the deal, offering the Fed enough breathing room to act without looking reckless. Nonfarm payrolls rose by 227,