The central bank hit the snooze button again in October, but left the prospect of a December “taper” on the table, saying any decision will depend on the economic data. January’s jobs report showed another miss and barely any revision to December’s alarmingly weak payrolls, raising questions about the U.S.
It’s a mixed bag across sectors: Manufacturing payrolls expanded by 21,000 in January and leisure and hospitality jobs grew by 24,000.
In the past week, we’ve gotten a weak manufacturing report, some disappointing housing indicators and now this weak jobs report.

Moreover, although the unemployment rate moved even closer to the 6.5 percent threshold the Fed has discussed as an indicator for when it will begin considering raising short-term interest rates, policy makers have also emphasized the jobless rate is one of many economic measures they study in plotting their next moves. Average job growth over the past three months exceeded a 200,000 pace, matching the strong gains recorded earlier this year. The January jobs report is the first to show any effect on the labor market from more than 1 million Americans losing extended federal unemployment benefits at the end of December. But economists think it seems unlikely that January’s jobs report could knock the central bank off course. Markets look to ADP's report on private-sector payrolls to provide some guidance on the government’s monthly jobs estimate, which includes information on both private- and public-sector payrolls. The December job growth was revised up only slightly, to 75,000 from an initially reported 74,000.

The U-6 accounts for people working part time who want full-time jobs and people who are marginally attached to the labor force. In other words, overall, a few more people are becoming confident about the economy and have started to job hunt again.

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