The dollar, US equity futures and US Treasurys all sold off on the report, while spot gold spiked higher.

E-minis tumbled immediately on the news, suffering their first sharp drop of the new year.

The dollar pared its weekly gains, and is back to a 92.00 level, as the UST curve steepens while the yen extends a rally on growing speculation the Bank of Japan may taper its unprecedented monetary easing, a process which was unveiled on Monday night.

Treasury yields spiked on news that Chinese officials reviewing foreign-exchange holdings are said to have recommended slowing or halting purchases of Treasuries, with the yield rising as high as 2.59%, just shy of Jeff Gundlach's 2.63% red line.