Strong payrolls plus soft CPI is a tricky combo. It signals growth is holding up while inflation cools, which is close to a “soft landing” setup. In the short term, that’s supportive for equities because recession risk drops and rate-cut odds stay alive. The question is sustainability. If jobs stay too hot, yields could creep back up. If inflation keeps easing, liquidity expectations improve. Markets will now trade data-to-data, watching whether this balance holds.