Non-Farm Payrolls (NFP)

Non-Farm Payrolls (NFP) is one of the most important economic reports in the United States, and it plays a significant role in forex trading, stock markets, and economic analysis.

It is a monthly report published by the U.S. Bureau of Labor Statistics (BLS), which provides data on the number of jobs added or lost in the U.S. economy. NFP gets its name because it excludes jobs in certain sectors, specifically farmworkers.

The NFP report is released on the first Friday of every month (for data from the previous month), usually at 8:30 AM EST (U.S. Eastern Standard Time). Since the report is highly anticipated and often releases a significant surprise (where actual data differs from expectations), it can create high market volatility.

The report is critically important for several reasons, being one of the best indicators of the overall economic health of the United States. Employment is a key driver of economic activity, and a rising number of jobs typically signals that the economy is growing, while a decline or stagnation in job creation can suggest economic slowdown or recession.

When the labor market is growing, it means more people are employed and receiving wages. With more income, people typically have more disposable income to spend.

More spending results in a higher Gross Domestic Product (GDP) which measures the total value of goods and services produced within a country.

Additionally employment figures, especially strong job growth, can significantly impact interest rates set by a country's central bank, in this case, the U.S. Federal Reserve.

Many websites track global economic events and releases, including NFP. You can it in economic calendar on Headway as well.