Wall Street Str...'s  Instablog

Wall Street Strategies
Send Message
Wall Street Strategies has been providing independent stock market research since 1991 to individual, retail and institutional clients through a balanced approach to investing and trading. Charles Payne, our founder and chief analyst, is routinely sought after for his stock market, political,... More
My company:
Wall Street Strategies
My book:
Be Smart, Act Fast, Get Rich
  • Relief Sighs And New Highs By Jennifer Coombs, Research Analyst 0 comments
    Jun 6, 2014 1:17 PM

    Both the Dow Jones Industrial Average and the S&P 500 are having a phenomenal day following the jobs report from the Bureau of Labor Statistics this morning. The dust has settled from the details of the report and the equity indices are now set to close at new all-time highs.

    Nonfarm payrolls for the month of May added 217K jobs compared to the revised 282K (from 288K) added in April, and the consensus expectation of 220K. The unemployment rate for May remained unchanged from April at 6.3%, while economists expected that the unemployment rate would increase to 6.4%. More notable was that the labor participate rate held steady at 62.8% for May; clearly the added jobs were a great net-gain since there weren't more individuals leaving the labor force. Additionally, the percentage of long-term unemployed individuals (i.e. 27 weeks or more) fell to 34.6% from 35.3% back in April.

    In the end we conclude that the May employment data conveyed more of same-old. There's continued improvement in the labor market, a low participation rate, and only modest growth in hourly earnings. The big takeaway driving the markets higher, however, is that the first rate hike by the Federal Reserve should be moved out into the future. So the markets have dodged a bullet for now.

Back To Wall Street Strategies' Instablog HomePage »

Instablogs are blogs which are instantly set up and networked within the Seeking Alpha community. Instablog posts are not selected, edited or screened by Seeking Alpha editors, in contrast to contributors' articles.

Comments (0)
Track new comments
Be the first to comment
Full index of posts »
Latest Followers


More »

Latest Comments

Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.