A very strong employment report has stocks in a rally mode, a much needed respite from the last two weeks of a harsh selloff. Job creation was well above expectations and the unemployment rate fell below 6% for the first time since 2008. The balance of payments deficit was down slightly on record US exports, which should provide a boost for 3rd quarter GDP down the road. The dollar is very strong against all currencies this morning and is causing a continuing drop in both oil and precious metals. Interest rates are also falling based on strong international demand for the US dollar. This is a continuation of generally positive economic data for the US economy. There appears to be greater probability of interest rate hikes in 2015 based on this data and in the past this 'good news is bad news' scenario has played out to stifle market rallies. But for now let's just enjoy the uphill ride and hope for more.
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