Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

Jobs Report, Hourly Wages, Unemployment: 3 Things to Watch

Published 2021-10-07, 03:58 p/m
Updated 2021-10-07, 03:58 p/m
© Reuters.

© Reuters.

By Dhirendra Tripathi

Investing.com --Stocks surged on Thursday as the drama on Capitol Hill resulted in an agreement to raise the debt limit on the federal government until December, thwarting a possible default.

Senators have agreed to pass a $480 billion increase in the limit. But they also pretty much guaranteed another partisan showdown come holiday time.

Uncertainty over the debt limit standoff had weighed on stocks. Investors are also looking to Friday’s job report for September, at once a barometer on the state of the recovery and a tool the Federal Reserve will use to determine the timing of its tapering program.

In good news, new jobless claims dropped last week by more than expected, which indicates the labor market is picking up. 

Energy stocks also gained after oil prices rebounded. Earlier in the day there were concerns about a potential increase in supply after the U.S. said it would consider tapping emergency oil reserves to ease the pressure on gas prices.

Here are three things that could affect markets tomorrow:

1. Jobs, jobs, more jobs

Job creation is expected to have gotten a boost in September after the August disappointment of only 235,000 positions. According to estimates, the Labor Department is likely to give a figure of 500,000 for the jobs the economy added in September. The August total was the worst since January.

2. Hourly pay

Wages are expected to have maintained their north-drift but at a slower pace in September. Average hourly earnings are likely to have risen 0.4% month-on-month compared to August’s 0.6% rise, according to estimates of analysts tracked by Investing.com.

3. Unemployment rate

The unemployment rate is likely to have dropped to 5.1% in September from 5.2% in August. All of the jobs data comes out at 8:30 AM ET (1230 GMT).

 

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.