Disappointing job numbers send stock market futures south

Posted By on June 1, 2012

Numbers being release this Friday morning are making an already bad month of May an even more frightening June beginning. Jobs creation, payroll and now even the unemployment rate has risen. The yield on the 10-yr Treasuries hits an unbelievable low of 1.5% yield. Weak throughout. 

WASHINGTON—U.S. job growth slowed sharply in May, the latest indication that the economy has lost momentum.

Nonfarm payrolls grew by a 69,000 last month, the Labor Department said Friday, the smallest gain in a year. The unemployment rate, obtained by a separate survey of U.S. households, ticked one-tenth of a percentage point higher to 8.2%, the first increase in nearly a year.

Economists surveyed by Dow Jones Newswires expected a gain of 155,000 in payrolls and for the jobless rate to remain at 8.1% in May.

Compounding an already weak report, March and April payroll gains were revised down. Nonfarm payrolls increased by 77,000 in April, compared with the previously reported 115,000, and March payrolls grew by 143,000 versus a previously reported 154,000..

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Comments

  • This morning the search for safety has investor looking under every rock “something” safe … maybe gold? The 10 year treasury comment by Art Cashin about being at a “200 year low yield” really hit home. I don’t think many of the experts expected the U.S. employment numbers to be so very bad.

    A Silver lining? Maybe we’re closer to electing a “LEADER” … someone who has some economic and business insight; someone who will be able to encourage business as a partner rather than treating business and capital markets as a target to fund expanding the government and nanny state. Mitt Romney sure has more of these character traits than President Obama.

Desultory - des-uhl-tawr-ee, -tohr-ee

  1. lacking in consistency, constancy, or visible order, disconnected; fitful: desultory conversation.
  2. digressing from or unconnected with the main subject; random: a desultory remark.