Biden creates 100k too many jobs; market tanking

It’s more that this makes more rate cuts less likely. Discounted expected cash flows from stocks are lower with a higher rate, hence lower stock prices

 

It's only a matter of time before Trump after he takes office tries to pressure Jay Powell to lower interest rates. For those who do not have much of a long term memory it was Nixon's successful pressure on Fed Chair Arthur Burns to lower interest rates that was responsible for the stagflation of the 1970's not Jimmy Carter.

 

https://www.wsj.com/opinion/trumps-economic-plan-has-inflation-written-all-over-it-fcbb8204

Scary scenario. Allen Blinder must be old....used his text as a freshman.

How much inflation can we expect from another round of tariffs? Well, imports are about 14% of U.S. gross domestic product, though a lot of that is inputs used by American firms, not consumer goods. If the average tariff rate is 10% to 20% (I’m guessing here—tariffs on Chinese goods will be higher) that’s about 1.4% to 2.8% higher prices. Most important, this is likely a one-shot price increase. Not even Mr. Trump would raise tariffs every year. Would he?

What happens then? Can we really imagine Pam Bondi as attorney general telling her boss that he can’t fire Mr. Powell? It’s easier to imagine the issue going to court. If it goes all the way to the Supreme Court, it’s all too easy to imagine the 6-3 conservative majority siding with Mr. Trump. If so, Federal Reserve independence goes out the window.

What could stop this awful scenario from playing out? Good judgment on the part of the president-elect? Please stop laughing and read on.

Or Congress, which created the Fed in 1913, refusing to enact the changes in the Federal Reserve Act that Mr. Trump might request? Not unless there are mass backbone transplants on Capitol Hill.

 

Powell has made several statements already about not succumbing to pressure..don't see that happening

 

I will wait until they update the figures

 

I agree I don't think Trump can successfully pressure Powell into resigning although that doesn't mean that the Donald won't keep trying. Although Jerome Powell was a Trump appointee as was Christopher Wray Powell will become a prime target of Trump's vitriol.

 

Cannot see it happening. Although Trump may be able to get his proposed changes to the Federal Reserve Act through the House there is no way that he will get the 60 votes in the Senate.

 

Is there a reason why you haven't posted in the past when the updated figures were better than originally reported?

 

They never learn their lesson.

 

These positive numbers seem fake. Are people exchanging 1 full time job for 2 part time jobs? Does that go down as job creation?

 

seasonal. big hiring during the holiday season

 

These are seasonally adjusted. So that would mean either a greater than usual hiring for the season or actual job market growth.

 

damn, now im right wing peanut gallery for suggesting seasonal? im hard left libbie in the other thread..need my meds...

 

What lesson is that? That the US has added 17 million jobs in the last 4 years? No, we've learned that one.

 

So this is a good learning opportunity. Two months ago, in October's report, the initial estimate was 12k jobs added, with job creation cratering right after the storms. Now, these reports do 2 standard adjustments. Meaning that the second occured with this report. Were those initial numbers adjusted upward or downward? We all want to learn, so let's learn!

 

I tend to agree although the numbers are supposedly adjusted to reflect seasonality.

 

You need your meds? You sound like a radical independent to me.

Don't let it get you down, I voted for Perot the first time myself. (Before I got medicated)

 

So, you're giving an example of 1 month out of 48? Brilliant.