The Non Farm Payrolls disappointed with a weak headline number, negative revisions and mostly painfully no monthly change in wages. This puts the y/y change at only 2% after the breakout we had last time. With no wage inflation, there is no real rise in core inflation which the Fed cares about.
Nevertheless, and assuming no disaster in Europe, this is unlikely to derail the first rate hike, only postpone the second one. Here are 5 points to consider:
Read the rest of the article Analysis: NFP risks second rate hike, not the first in September – 5 points