Overall strong jobs data from the US

The jobs report from the US was, overall, positive – despite the headline number missing estimates.

US flag
Source: Bloomberg

There were 151,000 jobs added in January, which was well below the 190,000 expected and the previous month’s number was revised down from 292,000 to 262,000. But the rest of the report more than made up for it.

The unemployment rate dropped to 4.9% and the average hourly earnings ticked higher to 2.5% on a year-on-year basis. The fine detail is often the biggest driver of markets when it comes to the jobs report and the same is true for today.

Equity markets reacted the least to the numbers, as stocks were trading sideways before the announcement. That has now turned into a slightly negative move. The dollar rallied on the back of the announcement, which helped the currency regain lost ground from what was a poor week for the greenback.

Gold fell below $1150 after the announcement as the metal was riding high on the weak dollar. Oil was also hit by the surge in the US currency. 

This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.

Find articles by analysts

Een artikel zoeken

Form has failed to submit. Please contact IG directly.

  • Ik wens per e-mail informatie van IG Group bedrijven te ontvangen over handelsideeën en IG's producten en diensten.

Voor meer informatie over hoe wij uw gegevens mogelijk kunnen gebruiken, bekijkt u ons Privacy- en toegangsbeleid en onze privacy website.