Work report shows “strong” but “frozen” labor market: Experts

LatestEmployment Summary“The U.S. Bureau of Labor Statistics (BLS) report shows that the labor market begins to land in 2024. entrepreneur In an emailed statement, the findings made the Fed “luxury time” lower interest rates.

The report shows that the U.S. economy added 143,000 new jobs in January Consensus prediction In 2024, the average monthly income of 170,000 is lower than the average monthly income of 166,000 jobs. Boussour describes the labor market as “freezing but robust.”

“Company executives continue to control hiring, but they are still laying off jobs due to uncertain economic and policy environments,” she said.

Related: Experts say the December work report shows that a “strong economy” is a “strong economy.”

Job revenues in January were the highest in the healthcare, retail and social assistance industries, each with at least 22,000 jobs added. Meanwhile, hiring in the employment, quarrying, oil and gas extraction industries fell by 8,000 jobs amid a small change in 2024.

^{Fed Chairman Jerome Powell. Yasin Ozturk/Anadolu via Getty Images}

The private sector added 111,000 jobs in January, while government positions increased by 32,000. Private sector wages rose 17 cents to $35.87 in the month, while average workloads decreased by 0.1 to 34.1 hours during the average working week.

The report also showed that the unemployment rate was 4%, the lowest since May 2024. New York Times.

Related: “It’s really hard to find a job”: 1.7 million job seekers have been looking for a job for at least 6 months

Busuer expects that job growth in Busu will continue to fall below the average monthly increase of 166,000 jobs last year, with the unemployment rate increasing to 4.4%.

Speaking about Fed policy, she said the Fed’s response to its January work report will be more cautious and slow down the pace of cuts.

“We believe that Fed policymakers will judge the labor market as they further relax monetary policy, especially given stronger wage figures, provide them with a luxury time,” Bussul said. “Even if we expect to be in Inflation will slow significantly in the coming months during the cooler months of labor market conditions, and we expect the Fed to remain a standby way.”

Although Boussour previously expected three tax cuts in 2025 (March, June and September), she now expects only two cuts in June and December.

Related: The Fed lowered rates for the third time this year. How will this affect mortgage rates, according to 40-year veterans in the real estate industry