Larry Holzenthaler and Brian Jacobsen break down the latest jobs report, with Jacobsen calling the labor market strong but flagging wage growth of just 3% against 3.5% inflation as a real income squeeze on consumers. Holzenthaler sees the data giving the Fed more flexibility and likes high yield and senior loans as a defensive equity proxy with current income and less downside. Jacobsen also warns that growth is shifting from the consumer to capital expenditures like data centers, making it a make or break moment for consumer spending.