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It's US Employment Report Day! December numbers were much stronger than expected.

Nonfarm payrolls rose by 256,000 and beat analysts' expectations of 155,000 - well above the 212,000 jobs added in November. The unemployment rate fell slightly, to 4.1% versus 4.2% expected.

there He is Something like a very hot report, anyway.

“There is growing concern on Wall Street about the return of inflation. While a strong labor market is good for the US, there are concerns that a very strong labor market will put economic recovery back on the table,” said Brett Kenwell, US investment analyst at eToro.

The chances of a rate cut later this month are slim outside the windowThe chances of central bankers choosing to cut federal funds in March or even May don't look great either.

US stocks, after a good start to the new year, are now firmly in the red for 2025 – likely as a result of diminishing interest rate cut expectations and growing concern that the devastating fires in Los Angeles will have major financial consequences.

However, a resilient labor market and economic growth — which, according to the data, is where we currently stand — is not bad for stocks, according to Jessica Rapp, co-founder of DataTrek Research.

The employment situation bodes well for companies' profitability.

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