US unemployment rate came in at 4.3% vs the Expected 4.4%. Bullish for the market and gives the Fed room for further interest rate cuts

January 2026 is heading to a good start. The unemployment rate fell amid robust private-sector job growth. Nonfarm payroll growth surpasses expectations. But gains were concentrated in construction and health care, which accounted for 124K out of the 130K gained last month. The administration officials are tempering expectations, and a drop in the labor force is expected due to stricter immigration policies and productivity gains. The Fed would have to do more to stimulate the economy with further interest rate cuts as the economy gained only 181K jobs for 2025, revised down from the reported 584K jobs.