US Nonfarm Payroll and Employment Levels

Aron · January 10, 2025, 1:49pm

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Nonfarm payrolls rose 256,000, hotter-than-expected, causing 10-year treasury yield to rise 10 basis points

U.S payrolls grew by 256,000 in December, up from 212,000 (revised downwards from 227,000) and above the 164,000 forecast.
Unemployment rate came in at 4.1% versus expectations for it to stay steady at 4.2%.
Labor force participation rate remained steady at 62.5%.
At 0.3%, average hourly earnings was in line with expectations but down from 0.4% in November.
On a yearly basis, average hourly earnings fell to 3.9% from 4.0% in November.
Sectors with the biggest gains were education and health while mining and manufacturing were the only ones with job losses.
S&P 500 futures shed 1%, Nasdaq-100 futures fell 1.2%, Dow Jones futures dipped 0.8%, while 10-year Treasury yields rose 10 basis points to 4.778%, the highest since November 2023 as the report likely gives the fed a reason to halt rate cuts.