Welcome to Seeking Alpha's Wall Street Lunch, our afternoon update on today's market action news and analysis.

Good afternoon, today is Thursday, July 6th, and I'm your host, Kim Kahn.

Our top story so far in today's session.

Don't write off the resilient labor market just yet.

A host of employment numbers this morning indicated the Fed is still facing an uphill battle with a tight

jobs market. Most notably, ADP said private non-farm payrolls rose by nearly 500,000 in June,

more than double what economists were predicting. Weekly initial jobless claims

rose about in line with forecasts, but remained below 250,000 while continuing claims fell.

The May Joel's report showed that job openings fell more than expected, the 9.824 million.

But the quits rate, which indicates worker confidence in hiring prospects, rose to 2.6%.

Finally, June job cuts tumbled nearly 50% to around 40,000,

according to the Challenger survey.

June is usually the slowest month for layoffs,

but experts say that level is nothing like what you'd see in recession.

Pantheon macroeconomist Ian Shepardson says the figures show strength, but they weren't completely definitive,

with seasonality and claims and little data on

ADP's new calculating method. Still the markets look convinced they would be enough to

spook the Fed if tomorrow's official numbers follow suit. The odds jumped above 90% that the FOMC would raise rates at the next meeting.

Now here's a look at how trading is shaping up.

The Fed Fear Trade is back, for today at least. Stocks down, rates up.

The SMP 500, NASDAQ, and Dow are all down more than 1%.

Rates shot up across the yield curve. the 10-year Treasury yield top 4% and the 2-year yield rose above 5%.

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