Moderating Payrolls, Strong Wages Give Fed Green Light for Hike

A solid employment report with stronger-than-expected wage growth for June keeps the Federal Reserve on track to raise interest rates this month and mull another hike as soon as September.

Nonfarm payrolls increased 209,000 last month, less than economists expected, and job gains over the prior two months were revised lower, a Bureau of Labor Statistics report showed Friday. The unemployment rate fell to 3.6%. Average hourly earnings rose 4.4% from a year earlier, and the average work week edged up.

“Overall, the job market is outstanding, and is getting back to a balanced, sustainable level,” Chicago Fed President ...