What About Interest Rates?
The April Nonfarm payrolls report showed employment gains of just 115,000, the second straight month of sub-200,000 employment gains. The household survey showed outright losses of 169,000, following losses of 31,000 last month. I have a few observations.
First, it is much worse to see deceleration than persistent mediocrity. That is because employment, like many elements of the macroeconomy, has a discernable trend component. This is one reason why the debate over the weather effect matters: If you believe that weather overstated job gains in the winter, then these last two mediocre job reports aren't too distressing. It is just a continuation of the same trend. If however, you think the weather wasn't a major factor, then what you have is a clear deceleration from the December-February pace....637 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.
There’s no substitute for a trading floor to get great ideas, so Jim Cramer created a better one at Real Money and blogs there exclusively. We then added legendary hedge fund manager, Doug Kass, with his exclusive Daily Diary and best investing ideas. Staffed with more than 4 dozen investing pros, money managers, journalists and analysts, Real Money Pro gives you a flood of opinions, analysis and actionable trading advice found nowhere else, and allows you to interact directly with each expert.
Already a Subscriber? Please login.