The market is focused on the US (US) NFP employment data report published in the New York session last Friday which closed the trading week.
Job growth in January slowed to just 143,000, lower than the forecast of 169,000 after the market saw a significant increase in the previous month at 307,000 which was revised up from the original published reading of 256,000.
However, average hourly earnings were reported to have increased to 0.5% compared to the forecast to remain at 0.3%.
Meanwhile, the unemployment rate showed a decrease to 4.0% compared to the expectation of 4.1%.
Overall, the labor sector in America in early 2025 is still considered good, but growing slightly slowly.
The US dollar weakened briefly when the report data was published, but then showed a strengthening towards the end of the last trading session of the week.
The strengthening momentum is likely to be carried into the opening of trading earlier this week, but investors will remain cautious about the latest developments regarding the tariff war.
President Donald Trump said on Friday that he would announce reciprocal tariffs on many countries this week.
Previously, Canada and China were among the countries that announced retaliatory tariffs on the United States after Trump announced tariffs.
For clues to the Federal Reserve's (Fed) monetary policy, the market will be looking at the US consumer inflation (CPI) and producer inflation (PPI) data reports this week.
In addition, the testimony that Fed Chairman Jerome Powell will deliver in Congress will also be of interest for an overview of current economic developments and central bank policy, in addition to answering questions in the House and Senate.
