Non-farm payrolls jumped by 292K in December, much higher than the 200K expected, and with both November and October's reports revised higher to show an additional 50,000 jobs. The positive data shows that the U.S. economy is largely insulated from the world's wider tumult, relying heavily on consumption and services to expand. The dollar bulls cheered the data, with the currency's index holding on to a profit of 0.60% at 98.90. Dollar rose 0.62% against the euro to 1.0855, while advancing 0.37% against sterling to 1.4567, close to a 5-1/1 year high reached yesterday at 1.4529. Dollar additionally recouped some of its losses against the yen, rising 0.41% to 118.15.

U.S. shares drove higher as well after a brutal start of the year, with Dow Jones gaining 50 points, or 0.30% to 16,560. NASDAQ added another 40 points, or 0.80% to 4,726. S&P 500 rose nine points, or 0.40% to 1,951.

European shares were slightly up, with investors still wary from more shocks in the Chinese or oil markets. The pan-European index gained 0.10% to 1,362. Germany's DAX rose 23 points, or 0.23% to move back to the 10,000 mark. Britain's FTSE outperformed the market, gaining 0.30% to 5,972. On the other end of the spectrum, French shares dropped 0.50% after industrial production fell 0.9% m/m in November.

Oil prices resumed their decline after the dollar rally, with Brent crude futures down 10 cents, or 0.28% to $33.68 a barrel. U.S. West Texas Intermediary (WTI) crude futures gave up 13 cents, or 0.40% to $33.06 a barrel.