From Bloomberg’s highlight:
Factory payrolls are coming alive, up 16,000 in July following a 12,000 increase in June. This points to second-half momentum for manufacturing and is a positive wildcard for the economy in general. A similar standout is professional & business services, up 49,000, and within this temporary help services which rose 15,000. Gains here suggest that employers, pressed to find permanent staff, are turning to contractors to keep up with production. Government was a big factor in June, up 37,000, but was quiet in July at a gain of 4,000. Total revisions are a wash with nonfarm payrolls revised 9,000 higher in June and 7,000 lower in May.
Employment has by far been the strongest factor in the economy and the strength in today’s report will firm conviction among Federal Reserve policy makers that increasing wage gains, and with this increasing inflation, are more likely to hit sooner than later.
