Jobs Day

What’s in Today’s Report:

• Jobs Day
• Can a Run Hot Economy Turn into Stagflation?

Futures are modestly higher as President Trump downplayed the latest strikes on Iran.

President Trump called Thursday’s strikes on Iran a “love tap” and reiterated the ceasefire was still in place, easing markets concerns.

German Industrial Production slightly missed estimates (-3.0% vs. (E) -2.5% y/y) but that’s not moving markets.

Focus today will be on the April jobs report and expectations are as follows:  63K Job-Adds, 4.3% UE Rate, 3.8% Y/Y Wage Growth.  The best case for markets remains a Goldilocks number that combines a solid jobs number modestly above estimates and stable wage growth at or below estimates.

Geopolitically, the market continues to ignore headlines about limited U.S./Iran strikes and likely will continue to do so as long as the administration says the ceasefire is still in place.

Finally, there are several Fed speakers this evening including Bowman, Daly, Goolsbee & Waller (7:30 p.m. ET) but they shouldn’t move markets.