US economy added 143K jobs in January, unemployment rate ticks lower
Published On Feb 7, 2025, 8:32 AM
In January, the U.S. economy added 143,000 jobs, which was lower than expected, but the unemployment rate fell to 4%. The growth in average wages was strong, with a 0.5% rise from the previous month. The labor market showed mixed results, with the private sector particularly underwhelming, though healthcare was a strong performer. The Fed's decision to hold interest rates steady reflects a balancing act of supportive labor data against inflation concerns. Overall, the report indicates a cautious economic outlook, suggesting the Fed may remain patient with rate cuts.
Stock Forecasts
SPY
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Due to the labor market showing slower job growth but positive wage increases, combined with a stable unemployment rate of 4%, investment sentiment may remain cautious. The Fed's stance indicates that they are likely to keep interest rates steady, which can be supportive for certain sectors.
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