The SPDR S&P 500 ETF (SPY) closed at $580.49, down 1.53% on January 10, 2025, as stronger-than-expected U.S. labor market data dampened hopes for Federal Reserve rate cuts. The S&P 500 Index fell 1.54% to 5,827.04, reflecting investor concerns over the implications of the robust payrolls report, which showed a December increase of 256,000 jobs, far exceeding expectations. This unexpected strength in the labor market has led to a surge in Treasury yields, with the 10-year yield reaching a 14-month high, further pressuring equities, particularly in interest-sensitive sectors like real estate and technology. The rise in yields has also contributed to a broader sell-off in global markets, with European and Asian indices experiencing declines. Analysts note that the market is now pricing in a more extended pause in rate cuts, with the next potential reduction pushed to later in the year.