Strong Jobs Report Pushes Mortgage Rates Higher, Reopening the Door to Future Fed Hikes

A robust employment report with 172,000 jobs added in May has elevated mortgage rates and opened discussion among Federal Reserve officials about potential rate increases. While wage growth continues moderating — suggesting the labor market isn’t overly tight — the strong hiring data makes future rate hikes more probable. However, seasonal patterns indicate caution before treating this strength as a new baseline.