Financial Review

September Jobs Report


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…..156,000 new jobs in September. Unemployment rate up 0.1% to 5%. U-6 rate 9.7%. Labor force participation rate up 0.1% to 62.9%. Hourly wages up 0.2%. Financial Review by Sinclair Noe for 10-07-2016 DOW – 28 = 18,240 SPX – 7 = 2153 NAS – 14 = 5292 10 Y + .01 = 1.74% OIL – .88 = 49.56 GOLD + 2.40 = 1258.60 The economy added 156,000 new jobs in September. The unemployment rate rose from 4.9% to 5% for the first time since April, though that was largely because 444,000 people entered the labor force, looking for work. Some 3 million people have joined the labor force in the past year. Before the jobs report, the consensus estimate for about 170,000 new jobs in September. Still, this was the 72nd consecutive month of job gains, which compares to the previous record of 48 months of gains.   The U.S. has added an average of 178,000 jobs a month this year, down from 228,000 in 2015 and 251,000 in 2014.  The economy needs to add a little more than 100,000 jobs a month to keep up with the natural increase in the size of the labor force. So, even a modest increase of 156,000 jobs is enough to take a little slack out of the labor market.  The proportion of Americans in the labor force remains near 40-year lows; but the labor force participation rate increased 0.1% to 62.9%.  That may not seem like a lot, but compared to ...
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Financial ReviewBy Sinclair Noe