January Jobs Report Indicates Continued Labor Market Strength
Key Findings:
* Unemployment rate unexpectedly fell to 4% in January, its lowest since May 2024.
* US economy added 143,000 jobs, with upward revisions to previous months.
* Wage growth accelerated to 4.1%, exceeding expectations.
* Labor force participation rate rose slightly to 62.6%.
* JOLTS data shows a decline in job openings but stable hiring and quits rates.
* Private sector payroll additions increased to 183,000.
Implications for the Federal Reserve:
* Strong labor market data supports a continued "broadly stable" narrative.
* Market expectations for the Fed to hold interest rates steady through May have increased.