UBS recommends buying equity-market declines, longer-dated bonds and gold as investors reassess the Federal Reserve’s path after stronger-than-expected August payrolls. Nonfarm payrolls rose by 162,000, nearly triple the 55,000 consensus forecast, while unemployment remained at 4.1%, the strongest monthly payroll total since March. CME FedWatch puts the probability of a September rate hike at 60.4%, rising to 70.9% by October and 85.8% by December. The Federal Open Market Committee meets September 15 and 16 after holding its target range at 3.50%-3.75% in July, when three members favored higher rates. UBS strategists led by Mark Haefele say investors should focus on whether any hike responds to economic strength or persistent inflation. The bank favors AI, power, resources and longevity within equities, sees improved entry points in the medium-to-long section of the yield curve, and views gold as a portfolio hedge and diversifier. It no longer recommends locking in short- to medium-duration bond yields as a cash alternative and advises clients to reduce excess dollar holdings. August core CPI, due September 11, will test whether the recent hawkish repricing persists.