Thursday, September 5, 2013

Economic Journal - Thursday,09/05/2013

(as of 7:15 PST)


Solid economic data both in the US and abroad have overcome worries over Syria and markets are up moderately as a result.  Taper talk has fallen out of the news over the last couple of days allowing markets to build positive momentum.  Jobless claims were down more than expected while ADP data showed that private job creation was at the lowest level since May.  ADP data has been known to be inconsistent however.  The ISM services report came in at a very strong reading indicating that the recovery is picking up speed.  Gold is near unchanged after a big drop yesterday and oil is up on reduced inventory levels.  Interest rates continue to march upward, with 30 year mortgage rates topping 4.5% and the 10 year treasury approaching 3%.  The dollar is mixed against foreign currencies today.  Expect Federal Reserve talk of tapering its huge debt purchases to resurface over the next few days cutting into the positive market momentum. 

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