US Non-Farm Payrolls Mixed Signal

The latest US Non-Farm Payrolls (NFP) data pointed to higher-than-expected employment growth while showing an upward movement in the unemployment rate.

Employment growth has not completely stalled yet

However, signs of cooling in the labor market are strengthening #USNonFarmPayrollReport

For the Fed, this data

➡️ Makes hasty easing difficult

➡️ But also calls into question the sustainability of the current tight stance

📌 The message for the market is clear

A single data point does not determine the direction. The trend and its continuation are important.