The US labor market is slowing but healthy, strengthening the reason for the Federal Reserve not to rush to cut interest rates

News on February 7th, a report released by the U.S. Bureau of Labor Statistics on Friday showed that non-farm employment increased by 143,000 last month, and after revision in December it increased by 307,000.

The U.S. Bureau of Labor Statistics stated that the wildfires in Los Angeles and severe winter weather in other parts of the United States had "no significant impact" on this month's employment.

Changes in employment data for January and the latest employment data at the beginning of 2023 show that although the labor market is slowing down, it remains healthy and continues to drive economic growth without causing inflationary pressure. This also helps explain why policymakers at the Federal Reserve said they were not eager to further reduce borrowing costs after cutting interest rates three times last year.