"I think really the market is saying maybe no rate cuts in 2025, and that the 10-year could very easily break well above 5%," Jeremy Siegel said.

Before the strong December jobs report was released, the odds were already low for an interest rate cut in the next Federal Reserve decision on January 29.

Soaring payroll growth and low unemployment in December are more than likely to keep the Federal Reserve from cutti

A hot December jobs report has many strategists confident the Federal Reserve will hold off on further interest rate cuts for now. And some on Wall Street think this report may have even cracked the door open for the Fed to consider rate hikes in 2025.

"Markets tried to front-run the Fed on the level of interest rates and are now paying the price," Jamie Cox of Harris Financial Group said.

Minutes suggest that Fed policymakers were already returning to the data-dependent mindset in the face of the incoming Trump administration. Now investors can only wait and hope.

The December jobs report showed a surprise surge in hiring and an unexpected drop in the unemployment rate. Taken together, the data strengthen the case for the Federal Reserve to maintain its current cautious stance toward lowering borrowing costs,

The new jobs report is out, and hiring was much stronger than expected in December. The robust number is expected to further dampen the Federal Reserve's appetite for rate cuts. Details: ・The number: Employers added 256,