Non-Farm Payroll Report: Analyzing the Key Indicators of the U.S. Employment Situation
Non-farm payroll (NFP) is a monthly report that provides a detailed overview of the employment situation in the United States, published by the U.S. Bureau of Labor Statistics (BLS). This report includes data on the number of jobs added or lost in the non-farm sector of the economy, which includes all industries except for farming, government, and non-profit organizations.
The NFP report also provides information on the average hourly earnings and average work week of non-farm workers, as well as the unemployment rate. The data is based on surveys of businesses and households conducted by the BLS. This report is considered one of the most important indicators of the health of the U.S. economy and is closely watched by economists, investors, and policymakers. A strong non-farm payroll report typically indicates a growing economy, while a weak report can indicate a slowing or contracting economy.
The report is released on the first Friday of every month at8:30 AM EST, and the data covers the previous month. NFP is one of the most high impact news events in terms of the effects on the markets. The previous NFP caused a nearly 200 point swing in the Dow Jones industrial Average on March 10th,2023. NFP is scheduled for this Friday, April 7th at 8:30 AM EST. It is also important to note that at the same time as NFP data release, unemployment rate and monthly average hourly earnings data are scheduled to be released as well. This should make for a very volatile end to the week.
