1. There’s a way, just a ? of the will: There are a couple of early articles out broaching the topic of whether firms will begin hiring. The WSJ takes the path of how much money is on the sidelines for large corporations and how this may be used to increase employment. Bloomberg tacks with a focus on small firms improving sales, but how they are staying lean by using temporary help longer rather than adding full time employees. Without job growth, the US economy slides into perdition in the 2nd half of this year.
2. China eases restrictions for … …READ MORE
Tag Archives: US employment
5 things you need to know today:
Posted in Front Page Also tagged Austan Goolsbee, China, congress, currency, debt ceiling, obama, Republicans, small firms Leave a comment
US Employment Bad Surprise
Clearly, the numbers are a disappointment especially with the revisions. There appears to be a disconnect between the US ISM service&manufacturing data and the US employment data as the former was much stronger than the latter. Also, the increase in average hourly earnings and workweek are strong positives that go against the grain of the headline numbers. Finally, the strong CapEx numbers are not translating into job hires. The markets initial reaction is to sell US dollars, sell Canadian dollars and sell Risk. The euro has put in a new high and is now back to the level of May … …READ MORE
Theme Shift: US Bad, Europe Good
Bloomberg reports today that, “The European Union’s decision to publish the results of stress tests on the region’s lenders was welcomed by shareholders seeking more transparency. Investors still want to know how tough the terms of the tests will be.” This is what I’ve been warning about for some time about how doing stress tests are great, but there are at least two more steps that need to be taken for reduction of uncertainty over European banks and countries.
The best indicator that things are calming down is that debt issuance and commercial paper issuance are coming back. Spain had … …READ MORE
