Ok, Tobias, I have finally nailed the problem. Sorry to have bothered, the problem was on my side and I will describe it here in case anyone hits it in the future.
I checked my server PHP error logs and got an important clue there:
[28-Nov-2016 17:01:08 UTC] PHP Fatal error: Uncaught Error: Call to undefined function gzdeflate() in /xxxx/ROOT/wp-content/plugins/jetpack/sync/class.jetpack-sync-json-deflate-codec.php:17
Stack trace:
#0 /xxxx/ROOT/wp-content/plugins/jetpack/sync/class.jetpack-sync-sender.php(150): Jetpack_Sync_JSON_Deflate_Codec->encode(Array)
#1 /xxxx/ROOT/wp-content/plugins/jetpack/sync/class.jetpack-sync-sender.php(72): Jetpack_Sync_Sender->do_sync_for_queue(Object(Jetpack_Sync_Queue))
#2 /xxxx/ROOT/wp-includes/plugin.php(524): Jetpack_Sync_Sender->do_sync('')
#3 /xxxx/ROOT/wp-includes/load.php(671): do_action('shutdown')
#4 [internal function]: shutdown_action_hook()
#5 {main}
thrown in /xxxx/ROOT/wp-content/plugins/jetpack/sync/class.jetpack-sync-json-deflate-codec.php on line 17
… looks like JSON PHP module isn’t loaded.
The background information here is that I have recently upgraded from PHP 5.6 to PHP 7. Since PHP 7 has a very minimum set of modules enabled by default, what happens is that json.so wasn’t loaded in my php.ini conf file.
I have changed php.ini to load extension ‘json’, restarted NGINX and all is well now.
Thank you for timely response.