The new
trading week has started with friction after the surprisingly very strong
Non-Farm Payrolls report was published last Friday. Consensus expectations were
at 150,000 new jobs created in January, while ADP reported a huge decline of
300,000 jobs, the biggest since May 2020. In reality, Non-Farm Payrolls came
out at 467,000 in January with a revision of 350,000 newly added jobs in
November and December 2021.
Such a
strong U.S. labor market leaves the Federal Reserve (Fed) no other choices but
to act with utter severity during its March meeting.