Strong U.S. job, wage gains open door to mid-year rate hike

(Reuters) - U.S. job growth rose solidly in January and wages rebounded strongly, a show of underlying strength in the economy that puts a mid-year interest rate increase from the Federal Reserve back on the table.

Nonfarm payrolls increased 257,000 last month, the Labor Department said on Friday. Data for November and December was revised to show a whopping 147,000 more jobs created than previously reported, bolstering views consumers will have enough muscle to carry the economy through rough seas.

"By any measure this was an extremely good report. This report continues to add evidence that the consumer has the potential to continue to move along at this very constructive pace," said Tom Porcelli, chief U.S. economist at RBC Capital Markets in New York.