The US gained 113,000 jobs in January. The unemployment rate stands at 6.6% – little changed from the previous month. The US Non-Farm Payrolls report was expected to show a gain of around 185K in the first month of 2014 after an initial report about 74K for December. Even though significant revisions were expected, there were only 34K jobs added in November and December than previously reported. The unemployment rate was expected to stand at 6.7%, which isn’t far off the current rate of 6.6%. The report was expected to brush off worries for a weakening of the US economy and to show that bad weather was to blame for a one time slow job growth. But the recent report showed another slow month in the labor market. The Data (updated) Non-Farm Payrolls: 113K (December saw +74K before revisions) Participation Rate: 63% (62.8% last month ) Unemployment Rate: 6.6%, 6.7% expected (last month 6.7% before revisions) Revisions: +34K in November and December, (+38K in December) Private Sector NFP: +142K (ADP showed a solid gain of +75K jobs). Real Unemployment Rate (U-6): 13.5%(previous: 13.1%). Employment to population ratio: 58.8% (previous: 58.6%) Average Hourly Earnings: +0.2% gain, +0.2% expected. Average workweek: 34.4 hours (Last month: 34.4 hours). Market Reaction and Analysis Soon after the report was released EUR/USD rose by 0.13% to 1.3607; moreover, the USD/JPY is currently trading down by 0.21% to reach 101.9. The lower than expected gain in the number of added jobs for the second month in a row doesn’t vote well for the progress of the U.S labor market. This slow down in the labor market could pressure down the USD against the Euro and Japanese yen during today’s trading. If the U.S employment continues to show little growth, it could keep dragging down the USD against leading currencies. Towards the event, the euro got a boost from a confident ECB that denied deflation. AUD/USD also experienced a good week with a positive rate decision, and so did NZD/USD with the excellent job numbers. On the weaker side, we see the yen that lacked demand due to the lack of risk, CAD (which saw a release of its own job numbers) and the pound which got no love from the markets. For reactions in gold, silver, oil and other commodities, see Trading NRG. Background The US needed an improved NFP of around 200K, similar to the trend seen until December’s report, to confirm that it is on track. In addition, a revision to the poor 74K report was also desired. Bad weather swept through the US in both December and January, but the week of the NFP survey was said to be a warmer one. Data leading into the event was OK: ADP not only showed a normal gain in private sector jobs but also featured only a minor revision to December’s data. The ISM Non-Manufacturing PMI came out better than expected, including the employment component. The services sector is by far the largest in the US. In any case, the FOMC seems determined to continue with tapering, and only a major disaster in the economy could make it reconsider. So, even a mediocre NFP could be OK. More: 5 Notes for Non-Farm Payrolls Trading Natascha Sing Natascha Sing View All Post By Natascha Sing Forex News Today: Daily Trading News share Read Next A positive week all round, but bad news for GBP Guest 9 years The US gained 113,000 jobs in January. The unemployment rate stands at 6.6% - little changed from the previous month. The US Non-Farm Payrolls report was expected to show a gain of around 185K in the first month of 2014 after an initial report about 74K for December. Even though significant revisions were expected, there were only 34K jobs added in November and December than previously reported. The unemployment rate was expected to stand at 6.7%, which isn't far off the current rate of 6.6%. The report was expected to brush off worries for a weakening of the US economy… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.