The January jobs report revealed a drop in the unemployment rate to 4%, accompanied by payroll gains of 143,000. A Fed interest rate cut in March is now very unlikely.

Federal Reserve Governor Adriana Kugler said it’s appropriate to keep the Fed’s benchmark interest rate where it is for some time, given a stable labor market, limited progress on inflation in recent months and uncertainty over the outlook for fiscal and trade policy.

The central bank is grappling with how quickly to lower interest rates after pausing cuts last month.

U.S. job growth slowed more than expected in January after robust gains in the prior two months, but a 4.0% unemployment rate probably will give the Federal Reserve cover to hold off cutting interest rates at least until June.