Jobs Day
What’s in Today’s Report:
- Why Inflation Might Not Be As Temporary as the Fed Thinks
- OPEC Update and Oil Outlook
Futures are slightly higher ahead of the jobs report following a quiet night of news.
The only notable economic report overnight was Eurozone PPI, which rose 9.6% yoy vs. (E) 9.5% yoy. That report isn’t moving markets, but it’s the second inflation report in two days to imply inflation pressures haven’t peaked.
There were no new developments on infrastructure.
Today the jobs number is key and expectations are as follows: Job Adds 675K, UE Rate 5.7%, Wages yoy 3.1%. As long as the headline job adds number isn’t close to 1 million and the wages number doesn’t spike well above expectations, markets should be able to generally digest this report, even if it is a mild surprise.
Other economic indicators today include International Trade in Goods (E: -$71.2B) and Factory Orders (E: 1.3%) but we don’t expect them to move markets.
