Payrolls growth strengthens

[csrcsr]

The U.S. labor market ran hotter in December, with companies adding 235,000 payrolls, ADP data show. The number compares to an upwardly revised 182,000 payrolls added in November. Last month’s gains were led by employers with fewer than 500 employees, as the biggest companies sliced 151,000 payrolls — the most since April 2020. While the report shows continued demand for workers, slower wage growth suggests inflationary pressures may be easing. Workers who switched jobs in December saw a 15.2% pay increase, the lowest in 10 months.

 

• New jobless claims also fell last week to the lowest level since late September, in another sign of labor market strength.
• Stocks fell after the reports, as traders weighed the impact on interest rates, which the Federal Reserve has been aggressively raising to combat
•  
• .https://www.linkedin.com/posts/saira-malik-b65116109_markets-employment-inflation-activity-7016826734536773633-4v8Y?utm_source=share&utm_medium=member_desktopight labor market is still making the Fed’s job more difficult
  
  #Markets continue to grapple with a “good news is bad news” dynamic on the eve of December’s payroll report. This week’s employment-heavy reporting underscores lingering tight conditions in the labor market, as both JOLTS data (10.6 million job openings) and ADP private payrolls (+235,000) surprised to the upside, and first-time unemployment claims reached a 14-week low.
  
  While strong #employment data should be celebrated, its implications for monetary policy will inject further volatility into risk assets markets, given the Fed’s stated objective of loosening labor market conditions in its fight against stubbornly elevated inflation.
  
  Though we believe peak #inflation and peak tightening are behind us, a plateau rather than a pivot in interest rates is the likely next phase of Fed policy — until inflation moderates to an annualized rate of 2%.
  
  As a result, our base case for the economy is still for a shallow recession at some point in 2023 before the Fed shifts to making its first rate cut. Given these expectations, we continue to advocate three key portfolio themes for investors planning their asset allocations heading into 2023: (1) reduced exposure to cyclical (economically sensitive) assets, (2) a renewed focus on core fixed income for higher potential total returns and (3) continued investment in select defensive alternatives to hedge against further inflation and future recession.
  
  While tomorrow may bring another strong data release with the December payrolls report from the Bureau of Labor Statistics, we anticipate labor markets will loosen in 2023 as the effects of the Fed’s rapid tightening take hold. Additionally, we’ll be keeping a close eye on revisions to previous months’ job reports.
  
  What impact, if any, is the persistently tight labor market having on your portfolio positioning?

[Spartan]

[Mancode]

us wont afford to have a recession , politically its a suicide for dems , if they announce like govt did in 2008 

so they will just pass it on....remaining there will be small hiccups here and there

[Hitman]

2 hours ago, Mancode said:

us wont afford to have a recession , politically its a suicide for dems , if they announce like govt did in 2008 

so they will just pass it on....remaining there will be small hiccups here and there

Just retail investors ni బెదిరించి వాల్లు pandemic dip లో కొన్న stocks లాక్కుంతున్నారు ... అంతేనా 

[Mancode]

2 hours ago, Hitman said:

Just retail investors ni బెదిరించి వాల్లు pandemic dip లో కొన్న stocks లాక్కుంతున్నారు ... అంతేనా 

anthe