A Sep Fed hike a tad early after nonfarm payrolls - ANZ

Analysts at ANZ noted that the non-farm payrolls disappointed, rising 151k in August.

Key Quotes:

"The unemployment rate was steady at 4.9%, average earnings eased to 2.4% y/y (2.7% y/y), and the average work week fell to 34.3 vs 34.5 hours. Private payroll growth slowed to 126k vs 225k in July, but that is coming after strong growth in June and July.

Despite being the second weakest print of the year, some context is needed, with still solid numbers being printed and the 3m average lifting to 230k. Markets hardly took it as a bad number either, with conjecture from both sides of the fence on what it means for the Fed.

Some pointed to weakness, notably softening wage growth, while others noted job creation is still consistent with a solid rate of expansion. Our take is that the FOMC will continue to proceed cautiously, with a September rate hike a tad early."