Strong jobs report to recent highs bolsters economic outlook

The non-farm payroll report released today showed employment taking huge steps in October and setting recent year highs in nearly every category. The labor market added 271K jobs while unemployment dipped to 5 percent, significantly surpassing expectations of 180K new jobs and 5.1 percent unemployment.

Average earnings surged up 2.5 percent year-over-year, the most since July 2009. Two key areas, part time workers and underemployment, which make up labor market slack, fell to their lowest levels since 2008 signaling the jobs market may finally be tightening. The very data dependent Fed Chair Yellen noted last week that a December rate hike was a "live possibility" only if the economic data was strong enough to justify her actions.

"Solid employment figures such as these may finally be the sign of labor market durability Yellen was looking for that switches a December rate hike from a possibility to a reality", says Voya Global.