The US Bureau of Labor Statistics is set to release the December Nonfarm Payrolls data, with expectations of a 60,000 increase following November's 64,000 rise. The unemployment rate is anticipated to decrease slightly to 4.5% from 4.6%, while annual wage inflation is projected to edge up to 3.6% from 3.5%.
The employment report could significantly impact the US Dollar, as it may influence Federal Reserve policy decisions. Currently, market participants see a strong likelihood of the Fed maintaining interest rates at the upcoming January meeting, with a less than 15% chance of a rate cut. However, the employment data could alter expectations for a potential rate cut in March, currently estimated at 45%.
US Nonfarm Payrolls Expected to Increase by 60,000 in December
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