NEW YORK (CBSNewYork) — Wall Street took a big hit Friday, after a strong January jobs report.

The report had many investors fearful of higher interest rates.

According to the Labor Department the economy grew by 200,000 jobs to start the new year. This marks the 88th month in a row of job gains, the longest stretch on record.

The report said employment continued to trend up in construction, food services, drinking places, healthcare, and manufacturing.

Employment in other major industries like mining, wholesale trade, retail trade, transportation, and government changed little.

“I think if there’s a negative in the data, it’s that retail employment bounced back a little bit, but it’s still on a downward trajectory which is probably fed in part by the fact that so many people are buying their stuff from online retailers rather than going to stores,” Kevin Hassett explained.

Hassett is the chairman of the Council of Economic Advisors.

“Most importantly it showed that wage gains accelerated dramatically and now if you look at over the last 12 months, wage increase for Americans was just a little bit below three percent. That’s the highest rate we’ve seen since 2009,” he said.

Experts say raises stemming from republican tax cuts, and minimum wage increases in 18 states also boosted pay.

The strong report increases the odds the Federal Reserve will raise short-term interest rates in the coming months.

As for the nation’s unemployment rate, that held steady at 4.1 percent, a 17-year low.