Jobs

Strong Labor Department Jobs Report: Goods News Is Actually Good News

The U.S. Labor Department is out with what appears to be a stellar unemployment report for November. The good news is that the payrolls were not too far above whisper numbers after a strong ADP report lifted the bias already. This likely will not kill quantitative easing, at least not immediately.

Some 203,000 nonfarm payrolls were added, versus a consensus estimate of 180,000 from Bloomberg. We had seen that unofficial estimates were lifted to 200,000 or even 205,000, based on prior data this week. October’s nonfarm payrolls were revised slightly lower to 200,000 from a preliminary number of 204,000.

Unemployment fell to a post-recession low of 7.0%, versus the 7.2% consensus estimate from Bloomberg.

Private sector payrolls were up by 196,000 in November, versus the Bloomberg consensus of 173,000. One other boost is that October’s report was revised up to 214,000 from 212,000.

Average hourly earnings came in at a gain of 0.2%, as expected. The average work week also came in as expected at 34.5 hours.

So we are dealing with a situation where good news is being treated as good news by the stock market because the numbers did not post blowout results? S&P futures were up about seven points and DJIA futures are up more than 50 points in early trading.

Want to Retire Early? Start Here (Sponsor)

Want retirement to come a few years earlier than you’d planned? Or are you ready to retire now, but want an extra set of eyes on your finances?

Now you can speak with up to 3 financial experts in your area for FREE. By simply clicking here you can begin to match with financial professionals who can help you build your plan to retire early. And the best part? The first conversation with them is free.

Click here to match with up to 3 financial pros who would be excited to help you make financial decisions.

 

Have questions about retirement or personal finance? Email us at [email protected]!

By emailing your questions to 24/7 Wall St., you agree to have them published anonymously on a673b.bigscoots-temp.com.

By submitting your story, you understand and agree that we may use your story, or versions of it, in all media and platforms, including via third parties.

Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.