Wall Street is moving sideways today after setting a new 15-month high earlier in the week, as investors got the jitters after unemployment numbers came in mixed. However, Friday’s labor numbers will be the real market-mover this week.
First, here are the details today: The ADP National Employment Report indicated 84,000 jobs were lost in December, a bit worse than forecasts of 73,000. However, it’s less than half of the 169,000 jobs lost in November so the report was kind of a mixed bag.
The real splash on the unemployment front will come on Friday when we get the non-farm payroll numbers. I am cautiously optimistic, and think that we could actually see growth this time around — which would be the best payroll news since 2007! Unfortunately, the ADP numbers today showed a negative revision to numbers in November, so if the overall December report is just so-so, a negative change to last month’s numbers could weigh down the market. A good report would just roll over the negative revision, however, so I’m not too worried.
At any rate, don’t sweat today’s mixed labor news because I expect a big splash on Friday from what I expect to be a favorable report. Stay tuned for all the details.