Morning Report: Strong jobs report 8/4/17

Posted on August 4, 2017 by Brent Nyitray

Vital Statistics:

Last Change
S&P Futures 2474.5 2.8
Eurostoxx Index 380.7 1.8
Oil (WTI) 48.9 -0.1
US dollar index 86.1 0.0
10 Year Govt Bond Yield 2.26%
Current Coupon Fannie Mae TBA 102.93
Current Coupon Ginnie Mae TBA 103.81
30 Year Fixed Rate Mortgage 3.94

Stocks are higher this morning after the jobs report beat expectations. Bonds and MBS are down.

Jobs report data dump:

  • Payrolls up 209,000
  • Unemployment rate 4.3%
  • Labor force participation rate 62.9%
  • Average hourly earnings up 0.3% MOM / 2.5% YOY

Not a bad report. The Street was looking for 180,000 jobs, so the number was better than expected. Most of the job gains were in professional / business services, healthcare, and restaurants / bars. The two month revision was negligible. Wage growth remains sluggish, which is probably due to the huge shadow inventory of discouraged workers on the sidelines.

Small business owners are the most optimistic in 10 years, according to Gallup. The biggest challenge to small business? Government.

Wow. The Atlanta Fed is forecasting 4% GDP growth in Q3. The rest of the street is around 2.4%.

Filed under: Economy, Morning Report |

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21 Responses

  1. jnc4p, on August 4, 2017 at 9:17 am said:

    Back when the US could do things:

    “One of the greatest obstacles to planetary science has always been the human life span: Typically, for instance, a direct flight to Neptune would take about 30 years. But in the spring of 1965, Gary Flandro, a doctoral student at Caltech, noticed that all four outer planets — Jupiter, Saturn, Uranus and Neptune — would align on the same side of the sun in the 1980s. If a spacecraft were launched in the mid- to late 1970s, it could use the gravity of the first body to slingshot to the second, and so on. Such a trajectory would add enough speed to shorten the total journey by almost two-thirds. What’s more, this orbital configuration would not appear again for 175 years.”

    Liked by 1 person

    Reply
    • Brent Nyitray, on August 4, 2017 at 10:52 am said:

      He is butthurt because Miller destroyed Acosta?

      Like

      Reply
      • ScottC, on August 4, 2017 at 11:02 am said:

        Brent:

        He is butthurt because Miller destroyed Acosta?

        I thought it was funny that Acosta actually later talked as if he had gotten the best of that discussion. The Dunning-Krueger effect in action, perhaps.

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        • Kevin S. Willis, on August 4, 2017 at 1:25 pm said:

          He believes it, because he was the noble hero, defending truth and justice and honor, while Stephen Miller was hating immigrants and wanted to make America a racially pure state. He stood up to Hitler, man. Of course he got the best of that discussion, in his mind.

          Like

  3. markinaustin, on August 4, 2017 at 10:51 am said:

    That Gates and Panetta both think Kelly is absolutely solid gives me some hope he can make chicken soup out of chickenshit in the WH.

    Liked by 1 person

    Reply
  5. Let the mutherfuker burn!, on August 4, 2017 at 1:32 pm said:

    The straw men in this article create a massive fire danger.

    “I think you have to consider that we do want high-tech people, but we also need low-skilled people who will do work that Americans won’t do,” he said. “I wouldn’t do it. Even in my misspent youth, I wouldn’t do it.”

    His father was WestPac commander for fucks sake.

    “I’m not against a border wall, okay, but go to China and you’ll see a border wall there,”

    Or, you know, Israel’s wall.

    “But to think that a wall is going to stop illegal immigration or drugs is crazy.”

    Yeah, cause the argument has always been that a wall would completely, 100% stop illegal immigration.

    http://thehill.com/homenews/senate/345274-mccain-on-merit-based-immigration-bill-i-wouldnt-do-it

    “To the last, I grapple with thee; From Hell’s heart, I stab at thee; For hate’s sake, I spit my last breath at thee.”

    Liked by 1 person

    Reply
  7. Let the mutherfuker burn!, on August 6, 2017 at 9:08 am said:

    Broad sues Time magazine for discrimination so article naturally mention Trump in fist paragraph.

    https://www.theguardian.com/media/2017/aug/05/catherine-mayer-time-magazine-sex-discrimination-lawsuit

    Dude lives rent free in Guardian Writers, editors and readers heads.

    Now that’s power.

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  9. Brent Nyitray, on August 6, 2017 at 1:58 pm said:

    Social heresy. A Google engineer comments on the company’s social engineering and diversity efforts..

    http://gizmodo.com/exclusive-heres-the-full-10-page-anti-diversity-screed-1797564320

    Like

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  11. Let the mutherfuker burn!, on August 6, 2017 at 10:22 pm said:

    Stupid bitch Nicole Wallace: Hey, maybe Palin wasn’t such a dumb chillbilly after all.

    Like

    Reply

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