This morning’s jobs report shows a solid increase in payroll employment, with 280,000 jobs added in May—slightly higher than the previous six month average of 260,000. This provides further evidence that the slowdown in March was a minor blip in an otherwise slowly recovering labor market. Year-over-year average hourly earnings rose 2.3 percent, still below a reasonable target (3.5 to 4 percent). While this is an encouraging report, the evidence continues to point to the fact that the Federal Reserve should not even start a conversation about raising interest rates until 2016. Even though job growth was solid, it needs to be sustained over a longer period of time in order to significantly tighten the labor market to the point where we finally see significant wage growth.