December employment data: December non-agricultural employment increased by 256,000, significantly higher than expected, the highest since March 2024. October and November data were revised down by 8,000....

< Span class = "section-news" > 1. < b > December employment data : Non-farm payrolls added 256,000 in December, sharply higher than expected and the highest since March 2024. October and November data combined were revised down 8,000. The unemployment rate unexpectedly fell to 4.1%. Average hourly earnings rose 0.3% from November. < br > < span class = "section-news" > 2. < b > Full-year 2024 data : Full-year 2024 payrolls rose 2.20 million, the smallest full-year gain since 2020, marking a slowdown in employment growth from the strong rebound following the COVID-19 pandemic. < br > < span class = "section-news" > 3. < b > New areas : Health care and social assistance, retail, and the leisure and hospitality sectors led the way in job creation. Government employment also rose. Manufacturing cut jobs for the fourth time in five months, bringing total unemployment to 87,000 in 2024. < br > < span class = "section-news" > 4. < b > Employment participation rate : The share of the population working or looking for work remained unchanged at 62.5%. < br > < span class = "section-news" > 5. < b > Market reaction : Treasury yields and the dollar index surged after the data, with the 30-year Treasury yield rising above 5%. Traders are postponing expectations of another Fed rate cut until later this year, no longer betting on two rate cuts this year. Analysts expect the Fed's focus to shift to inflation.