Marketmind: Paying particular heed to payrolls
2022.08.05 08:42
FILE PHOTO: People line up outside a newly reopened career center for in-person appointments in Louisville, U.S., April 15, 2021. REUTERS/Amira Karaoud
A look at the day ahead in markets from Alun John
U.S. payrolls data day is dawning shortly and set to tell us whether markets should be more worried about inflation or a recession.
As Rabobank notes — Will a weak print provide more ‘pivot-fuel’ for a market already so drunk on it that it won’t heed the Fed saying “WRONG!” over and over – as they just did yet again yesterday? Conversely, will a strong payrolls number sober the market up?
If markets decide good jobs news is also good news for stocks, expect the bouncers at the Fed to shout even louder.
A Reuters survey of economists expects U.S. non-farm payrolls to have increased by 250,000 jobs last month after rising by 372,000 in June. But signs from other claims and related data warns of a poor number.
The jobs data will likely outshine most morning news in Europe, though Allianz (ETR:ALVG)
