The May jobs report is good news for workers who continue to benefit from a still-solid economy. But the numbers call into question the narrative of aMeanwhile, the accelerating job and wage growth run counter to the type of economic conditions that might prompt the Fed to slash interest rates, especially as inflation looks like it might be"Today's data undermines the message that other recent economic data have been giving of a cooling U.S.
Wages by this measure are up 4.1% over the 12 months ending in May, likely outpacing inflation — though that data won't be released until next week.Treasury yields surged after the report's release, reflecting pared bets on Fed rate cuts. The jobs report is among the last major pieces of economic data released before the Fed's two-day policy meeting that begins next week. Officials have said they plan to hold rates at a high level until there is further evidence that inflation is cooling.