Stock futures were pointing to further losses on Monday, suggesting the market still isn't over a blockbuster jobs report that has investors questioning if the Federal Reserve will lower interest rates at all this year.

"Inflation is stuck above target and risks are skewed to the upside. Economic activity is robust. We see little reason for additional easing."

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.

Key Takeaways The odds of the Federal Reserve cutting its benchmark interest rate this year fell after a jobs report Friday showed hiring in December blew past expectations.Strong job growth means less pressure on the Fed to cut interest rates to save the economy and prevent layoffs.

The surprising 256,000 increase in new jobs in December and a declining unemployment rate is good news, but the latest employment reports masks recent softness in the labor market. The increase in new jobs in December, for example, was centered on just four industries: Health care, government, retail and leisure and hospitality.

Due to the stronger-than-expected jobs report, Bank of America economists revised the Fed outlook for this year: “We no longer expect any additional rate cuts,” economists wrote in a report on Monday. "Inflation is stuck above target, with risks skewed to the upside, activity is strong, and the labor market now appears to have stabilized."

Annual inflation ticked up for a third straight month in December as food, energy costs rose, CPI report showed. But underlying price measure eased.

The Federal Reserve has been "less focused on the job market recently," and today’s better-than-expected employment report "gives them more reason to put their attention elsewhere," said Ali Jaffery,

Forget about rate cuts this year. The Federal Reserve is not budging, no matter how much Wall Street begs for a break. Inflation is being stubborn, the labor market refuses to chill, and the government is racking up deficits like there’s no tomorrow.

The December jobs report has sparked significant concerns in financial markets. It revealed a disconnect between the Federal Reserve’s recent monetary policy decisions and economic reality. The report showed stronger-than-anticipated job growth,