The August jobs report came in strong. Here's what Wall Street has to say about the implications:
-- "The August jobs report was a step in the right direction, even if investors interpret it through a 'good news is bad news' lens," said Bret Kenwell, eToro U.S. investment analyst.
-- "Although it's not a given that the Fed will raise rates on Sept. 16th, especially given the optics of a national election less than two months after the meeting, there are plenty of reasons to raise interest rates (to fight inflation) and less reasons to keep rates unchanged (to support the labor market)," said Chris Zaccarelli, chief investment officer at Northlight Asset Management.
-- "August's solid job growth is even more notable since the government cancelled Temporary Protected Status for Haitian refugees on July 27, forcing workers who used that status to qualify for authorization to leave the work force," said Bill Adams, chief U.S. economist at Fifth Third Commercial Bank.
-- "August payrolls were strong across the board, including in cyclical sectors like construction and manufacturing. Add in elevated inflation, and the Fed looks well off-sides against an economy that's running hot," said Sonu Varghese, chief macro strategist at Carson Group.
-- "The most likely path is a punt: hold, wait for August CPI on Sept. 11, and see whether the disinflation [Fed Governor Christopher] Waller described is real," said Ken Mahoney, chief executive of Mahoney Asset Management. "The August jobs number was stronger than expected. It was not, by itself, the case for a hike.
