Traders raised the probability of a 50-basis-point cut by the Federal Reserve in September to 39 per cent on the back of weak economic data.

According to reports, today's release of the U.S. ISM August manufacturing PMI report showed that the U.S. economy continues to shrink, according to the Chicago Mercantile Exchange (CME) Fed inertia data, by the impact of the weak data, traders will be the Federal Reserve in September to cut interest rates by 50 basis points of the probability of raising to 39 per cent from a day earlier, from 30 per cent. However, the betting favourite remained 25 basis points at 61%.

The main event in U.S. macro news remains Friday's August jobs report, and what could be the ultimate determinant of a 25 or 50 Fed rate hike, with economists forecasting a rebound to 160,000 jobs from 114,000 in July. The unemployment rate is expected to fall to 4.2 per cent from 4.3 per cent.