NEW YORK, Nov 2 — Wall Street’s main indexes fell today after data showed private payrolls rose more than expected in October, adding to worries that the US Federal Reserve will not have enough reason to tone down its aggressive rate hike policy.

With markets already expecting another 75-basis point rate hike later in the day, investors are keenly waiting for any hints from the central bank on smaller increases in December.

However, US private payrolls increased more than expected in October, the ADP National Employment report showed, offering further evidence that the Fed’s rapid rate hikes have yet to significantly slow economic growth.

The report showed private payrolls rose by 239,000 jobs last month. Economists polled by Reuters had expected an increase of 195,000 jobs.

It follows a survey yesterday that showed a jump in US monthly job openings, which pointed to strong labour demand and doused hopes of a change in the central bank’s aggressive policy approach, which helped drive a strong rally for stocks in October.

Still, traders are split on the odds of a 50 bps or 75 bps rate hike in December, according to CME Group’s Fedwatch tool.

The Fed’s interest rate decision is due at 2pm ET (1800 GMT), but focus will be on commentary from Fed Chair Jerome Powell later.

"The Fed has said they’re going to be data dependent and that is not good because the inflation numbers are still high and unemployment is low,” said Fall Ainina, director of research at James Investments.

"The numbers are still not there for the Fed to really pivot.”

The non-farm payrolls report due on Friday will offer further clues on the outlook for interest rates.

Advanced Micro Devices Inc rose 3.5 per cent after it forecast some strength in its data centre business, while Airbnb Inc tumbled 8.4 per cent on a bleak holiday-quarter revenue forecast.

At 10.21am ET, the Dow Jones Industrial Average was down 140.27 points, or 0.43 per cent, at 32,512.93, the S&P 500 was down 24.00 points, or 0.62 per cent, at 3,832.10, and the Nasdaq Composite was down 74.98 points, or 0.69 per cent, at 10,815.87.

Among other stocks, CVS Health Corp advanced 4.2 per cent after raising its annual profit forecast, while Estee Lauder cut its full-year sales outlook, sending the cosmetics maker’s shares down 7 per cent.

Tinder-owner Match Group rose 6.7 per cent after reporting better-than-expected third-quarter revenue.

Declining issues outnumbered advancers for a 2.86-to-1 ratio on the NYSE and a 1.94-to-1 ratio on the Nasdaq.

The S&P index recorded four new 52-week highs and nine new lows, while the Nasdaq recorded 37 new highs and 84 new lows. — Reuters