While a pop higher would have been nicer, markets got their initial reaction to this report all wrong in my opinion. The underlying details were much stronger than the headline’s reported decline of 17k jobs during May and a slight rise in the unemployment rate. The initial drop in shorter-term yields and weakening in the C$ has since been largely reversed. There are three primary reasons for this take. Chart 1 shows some highlights. {chart} First off, all of the jobs lost were concentrated among youths. With all due respect to youths aged 25–54, this is nevertheless a summer jobs report as opposed to a more ... (full story)