Despite the recent government shutdown, the trade war and the building perception of a pending recession by many analysts, the job market continues to push forward. Economists on Wall Street expect private sector payroll additions of 174,000 for January, while the ADP report shows a robust 213,000 new jobs for the private sector.Read More
With the Federal government temporarily opening, the markets can focus on other factors for now.
Most immediately, the Federal Open Market Committee must decide whether it will adjust the target federal funds rate at the conclusion of their meeting tomorrow. Read More
Depending on who you ask, you may get three or four different answers to the question: What are the biggest risks facing the market right now?
Those citing the trade war base their case on the impact tariffs have already had on the economy. Others might argue the looming government shutdown poses the most severe immediate risk. Yet another group of speculators might view the upcoming FOMC meeting as the next critical market challenge.Read More
The November Employment report published by the ADP showed stable job growth across all segments of the private sector, continuing the recent trend of a tightening labor market.
Analysts are calling for an additional 190,000 to 250,000 nonfarm positions with the unemployment rate currently at 3.7%. Once again, there is the expectation for moderate but not significant wage growth. With Fed chair Powell’s recent comments that interest rates were nearing a ‘neutral level,’ the wage growth number remains key. Read More
After the Federal Open Market Committee’s (FOMC) November meeting concludes tomorrow, investors will have a better idea of the Fed’s take on the current economy. Little is expected to change in this policy statement as Fed officials wish to stay out of the markets’ forefront. Read More
Signaling strong job market breadth following the recent hurricanes, ADP reported an increase of 227,000 jobs in the private sector for October surpassing the expected 189,000.
Large companies (500+ employees) accounted for the largest share of additions with 102,000 new jobs while small businesses lagged behind creating only 29,000.Read More
E-Mini S&P 500 Futures (ES) may be approaching a major level of support.
On a daily chart looking back to the start of 2016, these volatile sell offs do not appear as intense as they seem in the moment. Viewing historical price activity helps to gain a greater perspective of the strong uptrend the markets have been in.Read More
Signs of further tightening in the labor market and an additional drop in the jobless rate to 3.8% are both expectations for the upcoming September employment report.Read More
The Federal Reserve will conclude their monthly meeting tomorrow with a decision on how to proceed with interest rates.Read More
Once again, wage growth will be the primary focus for many investors attempting to gauge inflation. Some metrics are showing wage growth lagging behind the CPI growth rate, causing concern for consumers in the future. With how tight the labor market appears, many believe it is only a matter of time until wage growth catches up. Read More