US jobs data is mixed, or as Vital Knowledge Media puts it, "could have been worse, but not great." This report strongly supports the Fed making a 50bps move on 9/18. Nonfarm payrolls (NFP) increased by 142k in August, falling short of the 165k expected. Additionally, the previous two months were revised down by a net -86k, with July now showing an 89k (was 114k) gain and June at 118k (was 179k).

The unemployment rate edged down to 4.2%, as anticipated. Average hourly earnings rose by 0.4%, higher than the forecasted 0.2%. Hours worked increased to 34.3 from 34.2. The labor force grew by 120k, following a 420k rise previously. Household employment saw a gain of 168k, after a 67k increase. The labor force participation rate remained steady at 62.7%. Private payrolls rose by 118k, up from the previously revised 74k (was 97k), while ADP reported 99k.