If history is any indication, Friday’s jobs report could seriously stink

03-Sep (BusinessInsider) — It’s jobs week in America, and Friday’s August jobs report has taken on increased importance.

With the continued uncertainty in the stock market, a good report could have significant impact on the Fed’s decision whether or not to raise interest rates in September. A rate hike would be the first hike since June 2006.

The only problem, August is historically a terrible month for this report. According to economist Joseph LaVorgna at Deutsche Bank, the August nonfarm payroll numbers have a history of seriously disappointing expectations.

“Since 1988, when our sample begins, August nonfarm payrolls have disappointed the financial markets in 21 out of 27 years, or 78% of the time,” said LaVorgna in a note to clients.

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