162,000 Jobs Added: What It Means for the Fed | S3 E165 | 09-04-26
The August jobs report landed well above expectations, and it’s the last one the Fed will see before its September meeting. The U.S. economy added 162,000 jobs last month against a forecast of just 55,000, with construction, AI-related hiring, and government payrolls all contributing. Megan Horneman breaks down what a beat this size means for interest rate policy.
Wages grew three-tenths of a percent for the month, unemployment held at 4.1%, and the labor force added more than half a million workers. Markets are already reacting: equities slipped as traders priced in a 62% chance the Fed raises rates in September.
In this episode, Megan covers:
– Why 162,000 new jobs was nearly triple what economists expected
– Where the job growth came from: construction, AI-related hiring, and government
– What rising wages and a steady 4.1% unemployment rate signal
– Why markets are now pricing in a 62% chance of a September rate hike
– How short- and long-term Treasury yields are reacting differently to the report
Subscribe for a new episode every week.
For a history of all Markets with Megan episodes: https://marketswithmegan.FM
#JobsReport #FederalReserve #InterestRates #FedRateHike #Economy #StockMarket #Investing #WageGrowth #Unemployment #MarketsWithMegan
