Stephen Juneau, an economist at Bank of America, said in a report on Monday that "after the release of stronger-than-expected employment reports, we have revised our outlook for the Federal Reserve: we no longer expect any further interest rate cuts, inflation is higher than the target level, risks are biased upwards, economic activity is strong, and the labor market seems to have stabilized."

As recently as September last year, Fed officials hinted at a possible one-point interest rate cut this year. They halved that expectation at their December interest rate meeting last year.