US Jobs: Labor Market Expected to Post Solid Growth in January

January Payrolls

Economists anticipate a 170,000 increase in payrolls for January, following strong gains in the previous two months. The Bureau of Labor Statistics (BLS) will also release annual revisions, aligning payroll levels to a more comprehensive job count.

Benchmark Revisions

The benchmark revisions are expected to adjust the March 2024 employment level downward by approximately 700,000. Additional adjustments for business births and deaths will lower last year's average monthly job growth estimate from 182,000 to around 148,000.

Fed Reaction

The January jobs report and revisions are likely to align with the Federal Reserve's view of moderating labor demand. This may support the Fed's decision to keep interest rates unchanged on Wednesday.

Other Key Data

* BLS report on Tuesday: 8 million job openings expected in December
* ISM manufacturing and services surveys on Monday and Wednesday, respectively
* Trade data revealing fallout from US tariff war

Global Economic Highlights

Asia

* Factory output data from Australia, Japan, South Korea, and Indonesia on Monday
* Australia's retail sales on Monday
* Indonesia's consumer price data on Wednesday
* Vietnam's trade and economic indicators on Thursday
* Reserve Bank of India expected to cut repurchase rate on Friday

Europe, Middle East, Africa

* Bank of England likely to cut rates on Thursday
* Eurozone inflation reading on Monday
* Manufacturing data from Germany and France
* Swedish Riksbank minutes on Tuesday
* Turkish inflation projected to slow to 41% in January
* Rate decisions in Mauritius, Poland, Iceland, Kenya, Uganda, Czech Republic, Armenia, and Moldova

Latin America

* Chile's GDP-proxy data on Monday
* Banxico expected to cut rates on Thursday
* Mexican central bank minutes on Tuesday
* Brazilian central bank minutes on Tuesday
* Consumer price data from Chile, Colombia, and Mexico