The U.S. economy added 104,000 more jobs than anticipated in September, underscoring the resilience of the labor market and likely ensuring a more measured pace of interest rate cuts from the Federal Reserve.

Pantheon Economics cited a "red flag" in September's jobs market data, and expects that the Fed to deliver more 50 basis point cuts.

A surge in U.S. job growth has financial markets betting the Federal Reserve will follow last month's half-point interest rate reduction with smaller moves, and ignited a debate over whether the policy rate ends up at a higher level than previously expected.