TD Securities' Michael Hansson at.....>

US DATA REACT: TD Securities' Michael Hansson at +170K Dec. jobs gain estimate

was the closest estimate in the MNI economist poll to the 148K Dec. jobs report

(median poll estimate was for a 190K gain.) Hansson  noted after jobs that

"December jobs report was roughly in line with expectations, with a downside

surprise in payroll growth. Payroll employment rose a smaller-than-expected 148k

(consensus: 190k, TD: 170k) on weakness in services. The unemployment rate held

steady at 4.1% while average hourly earnings rose 0.3% m/m (2.5% y/y) as

expected, thought the latter saw a downward revision to the prior month."

- He also said "weaker-than-expected payrolls and lack of an upside surprise to

wage growth left a dovish tilt to the report. That said, job growth remains

robust and will lead to further declines in the unemployment rate, which should

put upward pressure on wages in the months ahead. But until that materializes,

Fed officials may be cautious to proceed with rate hikes in our view."