Despite the surprise 1.4% contraction in the US economy in the first quarter, the US labour market remained very strong in April. Nonfarm payrolls increased by 428K, with private service-providing and manufacturing jobs up 340K and 55K respectively. The three-month average gain in nonfarm jobs is a very solid 523K. The unemployment rate remained extremely low at 3.6%, although it was flattered by a 0.2% decline in the labour force participation rate. Average hourly earnings growth remained robust at 5.5% on a twelve-month basis. Amid very high inflation and a robust jobs market, the Federal Reserve stepped up the pace