U.S. January non-farm payrolls far exceeded expectations, signaling improvement in the labor market

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Odaily Planet Daily reports that the Financial Times commented on the non-farm payroll report, stating that the United States added 130,000 jobs in January, far exceeding market expectations, indicating signs of improvement in the U.S. labor market after consecutive weak data. U.S. Treasury yields surged as investors lowered expectations for rate cuts this year. The two-year Treasury yield, which is particularly sensitive to monetary policy, soared to 3.55%, a one-week high. The unemployment rate slightly decreased to 4.3%. After years of strong growth, U.S. hiring activity sharply slowed in 2025. A series of new reports released last week show that with increasing layoffs and decreasing job openings, the labor market may further deteriorate. However, the latest data will help reinforce Federal Reserve Chair Powell’s argument that the labor market is showing signs of stabilization. (Jin10)

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