US payrolls rose 162k in August, nearly triple forecasts, but June and July were revised up a combined 55k, undercutting weeks of talk about a cooling labor market. Hot inflation data pushed futures-implied odds of a September rate hike back to roughly 58-60%.
Michael McDonough’s three-month payrolls average rebounded after July’s scare, a smoother read that undercuts the cooling-labor case heading into the September FOMC. Source
