Mars Finance reported that on September 5, analysts said the U.S. added 162,000 nonfarm payrolls in August, significantly above the market expectation of 56,000, and the prior two months were revised up by a combined 55,000. Among them, July nonfarm payrolls were revised from a decline of 23,000 to an increase of 21,000. However, excluding one-off factors such as rehiring in leisure and hospitality and government education, the endogenous job growth rate in August was about 60,000. Overall, the labor market was not as strong as the headline data suggested. The report noted that the unemployment rate remained at 4.1% in August, the labor force participation rate rebounded to 61.6%, and the broader U-6 unemployment rate fell from 7.9% to 7.7%, indicating that after labor supply returned, it was still absorbed by corporate demand and job quality improved somewhat. But average hourly earnings growth slowed further from 3.2% previously to 3.1% year on year, below the 3.4% CPI growth in July, showing that the labor market did not overheat again. Regarding Federal Reserve policy, GF Macro believes the August nonfarm payrolls data simultaneously refuted both the extreme narratives of "job market collapse" and "re-acceleration into overheating," but objectively increased the probability of another rate hike this year, as the resilience of the labor market reduced concerns about further tightening. However, whether there will be a rate hike in September will still mainly depend on the August inflation data to be released soon. In the market, after the data release, the implied probability of a September rate hike in FedWatch rose from 50% to 58.6%, while the 2-year and 10-year U.S. Treasury yields rose by 4 basis points and 1 basis point, respectively, to 4.37% and 4.78%. Major U.S. stock indices closed slightly lower, but AI hardware stocks rebounded against the trend, and the Philadelphia Semiconductor ETF SOXX rose 3%.