Nonfarm Payrolls (NFP)

Nonfarm Payrolls (NFP) is a monthly report showing how many jobs the U.S. economy added or lost, excluding farm workers. It's released on the first Friday of each month and is one of the most important economic indicators investors watch. When NFP numbers are strong, it suggests the economy is healthy, which can boost stock prices. When they're weak, it may signal trouble ahead. Think of it like a monthly health check-up for the job market. For example, if the report shows the economy added 250,000 jobs last month, traders might feel optimistic and buy stocks. If it shows job losses, they might sell instead. Even small surprises in NFP can cause big market swings.