Jobs Report Preview (Too Hot is the Risk)
What’s in Today’s Report:
- Jobs Report Preview (Too Hot is the Risk)
- Oil Update and Inventory Analysis
Futures are slightly higher following a quiet night as markets tentatively bounce back from Wednesday’s losses.
Economic data was mixed overnight as German Manufacturers’ Orders beat estimates (4.1% vs. (E) 1.5%) while the UK Construction PMI missed estimates (58.7 vs. (E) 63.8).
On COVID, Los Angeles could follow NYC in requiring proof of vaccination for indoor activities (if this becomes widespread policy in large cities it’ll be an economic headwind.)
Today we have a Bank of England meeting (No Change to Rates Expected), Jobless Claims (E: 381K), and one Fed speaker, Waller at 10:00 a.m. ET (who could be hawkish again, remember he called for tapering to start as early as September).
But, unless there’s a major surprise from the BOE or jobless claims, then COVID headlines will drive markets, and any signs of restrictions or behavior changes in people will cause volatility (and a decline in stocks).
