Outlook 09/07: U.S. stock futures bearish reaction after Jobs report. Economy adds more jobs than expected in August, and wage growth hits post-recession high. Nonfarm payrolls grew by 201,000 in August. Economists surveyed by Reuters expected a 191,000 increase. The unemployment rate held near a generational low of 3.9 percent. Average hourly earnings jumped by 2.9 percent, above the 2.7 percent increase expected. The metric is closely watched as an inflation gauge at a time when the Federal Reserve has been raising interest rates in part to guard against runaway cost pressures. Market participants widely expect the Fed to hike its benchmark rate another quarter point in September and likely add one more increase in December.
/ESU8 Value: YVAH 2885 YPOC 2875 YVAL 2872
/ES Plan: Yesterday market closed leaving a bearish profile (PBT 2857) and overnight looks balanced, moving below Yesterday's value, so we've these options:
A) If market remains below YVAL 2872 with bearish internals, try to lean on 2872 towards ONL 2868 HVE 2864 and PBT-GAP 2857.75 'Look below and fail' is a bullish signal.
B) If market starts to move above YVAL 2872 with bullish internals, become a buyer towards GAP 2878.75 ONH 2881.50 and YVAH 2985. and GAP 2908.25 'Look above and fail' is a bearish signal.
Today's Economic Calendar
10:00 Quarterly Services Report
1:00 PM Baker-Hughes Rig Count
Disclaimer: All information on this outlook is for educational purposes only and is not intended to provide financial advice.
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