5 key things to watch out for in today’s NFP report – WSJ
|The Wall Street Journal (WSJ) in its US payrolls preview, highlights five important things to look out for in today’s NFP release.
5 – Key things to watch out:
“1. Calm after the storms
WSJ highlights that the hurricane effect that caused a strong rebound in October should be "washed out". And that will mean November's report should give a clearer picture of the state of the labour market. If it comes in within expectations, it would signal job creation, and the broader economy, are on a firm footing.
2. Record low rates
The unemployment rate touched its lowest mark in 17 years in October. And the article mentions that the jobless rate is sending a signal that the labor market is tight, potentially putting pressure on the Fed to lift rates more aggressively in 2018.
3. Weak wages?
Again, WSJ highlights that the hurricane likely affected wage-growth figures in October. But there should be a bounce in wage-growth figures in November post-hurricane despite the October figure being the weakest pace of growth since February 2016.
4. Parsing the participation rate
WSJ says to keep an eye on the November participation rate for a continuation of sideways movement. The article mentions that it's a sign of labor market health as Americans are entering or remaining in the labor market even as aging baby boomers retire.
5. Will we see a tax effect in November?
The article mentions that strong jobs growth could be a signal of employers' confidence in the economy - during a month when Congress hashed out its new tax policy.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.