US Adds 50,000 Jobs, Less Than Expected
Speakers
Michael McKee
— International Economics & Policy Correspondent, Bloomberg
Summary
US December nonfarm payrolls rose only 50,000, below expectations, after a net downward revision of 76,000 to the prior two months. The unemployment rate fell to 4.4%, while average hourly earnings accelerated to 3.8% year-over-year. Michael McKee says the data still leave the Fed unlikely to cut rates in January.
- December nonfarm payrolls increased by 50,000, below forecasts.
- October and November payrolls were revised down by a net 76,000.
- Private payrolls were only about half of forecast; manufacturing payrolls fell 8,000.
- The unemployment rate fell to 4.4% and labor force participation was 62.4%.
- Average hourly earnings rose 0.3% for the month and 3.8% year-over-year.
- McKee says the data suggest no January Fed rate cut.
Ideas
January Fed rate cut unlikely
The December unemployment rate fell to 4.4% and average hourly earnings accelerated to 3.8% year-over-year, so despite weak payrolls, the Fed is unlikely to deliver a January rate cut.
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This Bloomberg Markets video, published January 09, 2026, features Michael McKee discussing January Fed rate cut. 1 trade idea extracted by AI with direction and confidence scoring.
Speakers: Michael McKee · Tickers: January Fed rate cut