Citigroup economists stated that following unexpectedly strong employment growth in January, job gains are expected to become moderate. They indicated, "Under our baseline scenario, weaker labor market data in the spring and summer will prompt the Federal Reserve to resume interest rate cuts." Employment increased by 130,000 in January, surpassing the average forecast of 55,000. However, the economists noted that the actual figure fell short of Citigroup's projection of 135,000, adding that their forecast "was not based on a fundamental strengthening of the labor market but rather on 'residual seasonality'." They anticipate the Federal Reserve will maintain current rates in the first half of the year. Subsequently, Citigroup predicts three rate cuts, aligning with market expectations.