Economists who had been speculating that the sluggish U.S. May jobs report was simply an outlier are feeling quite vindicated on Friday. The U.S. economy bounced back in a major way in June by adding 287,000 jobs, well above consensus expectations of 175,000. The unemployment rate rose slightly more than expected to 4.9 percent.
In addition to confirming last month’s number as an anomaly, DriveWealth’s Brian Dolan tells Benzinga that this month’s blowout jobs number will get the Fed talking as well.
“On the whole, today’s report has the potential to put a Fed rate hike back on the table, and I would expect to see markets begin to price back (again) in the possibility of a Fed move later this year,” Dolan said.
Dolan believes another hike as soon as September could now be a possibility.
Indeed’s Tara Sinclair agrees that Junes number demonstrates that the economy is still trending in the right direction, but she believes there is still little chance of a September hike in the wake of the U.K.’s Brexit vote.
“If it wasn’t for Brexit, today’s report would have brought back into play an interest…
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