What’s in Today’s Report:
- Has There Been A Positive Change in Markets?
- Jobs Day
Futures are solidly higher thanks mostly to continued momentum following Wednesday’s rally.
Economic data was sparse overnight, as the only notable report was the Eurozone Unemployment Rate, which slightly beat estimates (7.4% vs. (E) 7.7%).
Coronavirus cases continued to rise in the U.S. and hit a new daily record above 50k.
Today the focus will be on the Employment Situation Report, and the expectations are as follows: Job Adds: 3.000M, UE Rate: 12.4%, Wages: -0.8%). As long as the number isn’t a major disappointment (say below 2.5MM) it likely won’t interrupt this week’s lift in markets.
We also get Jobless Claims (E: 1.400M) this morning, and while it’ll be overshadowed by the monthly jobs report, claims are actually more important, and if they can continue to decline towards 1MM (and beat expectations) that will be an additional tailwind on stocks. Conversely, if claims start to move higher, that could offset even a better than expected monthly jobs report.