Stocks took an early hit due to a lousy jobs report and
geopolitical tension, but rallied hard to finish the day in the
At8:30 a.m. ET , the widely anticipated August jobs data was
reported. The economy added 169,000 nonfarm payrolls, which missed
the 180,000 consensus. But that wasn't the only disappointment:
July's figure was revised down to 104,000 from 162,000, and the
labor force participation rate sank to 63.2%, a 35-year low.
(INDEXSP:.INX) rose modestly at the open, then immediately dropped
20 points to hit a low of 1640.62. Bond yields also rose as the
weak jobs data drove demand for Treasuries.
However, the weakness didn't last long as the S&P rose steadily
throughout the day to finish the day just barely up at 1655.
The disappointing jobs report makes it less likely that the Fed
will taper its QE activities in the near future or reduce the size
of any planned reduction. Additionally, any potential rate hikes
are now almost certainly off the table.
Gold and oil were strong performers today as the dollar fell, and
as President Obama remained outspoken about a military strike on
Syria, continuing to push for a strike despite insufficient support
from G20 nations (particularly Russia and China), the UN, and the
Tomorrow's Financial Outlook
On Monday , we will see earnings reports from
Palo Alto Networks
July consumer credit will be reported at3:00 p.m. ET .
Overseas, we'll see some economic data, the most important of
which will be China's trade balance, new yuan loans, CPI, and
Additionally, traders will likely be watching for any news related