Midday market 12/02: Jobs report beats expectations, bringing back fears of interest rates

The job market continues to be a hot spot for investors as the FED's efforts to reduce labor demand through tightening corporate financial conditions have failed for the 7th consecutive month.

With the service sector continuing to expand jobs ahead of the holiday and shopping season:

Pressure from labor costs on overall inflation continues to be an issue to consider in the FED's interest rate policy with average hourly earnings rising sharply +0.6% in just November, double the expected +0.3%. This can be seen as the most concerning figure in this morning's report.