The Writing is on the Wall
4th January 2008
After the terrible employment number this morning, the market is taking it on the chin with the Dow down 2% and the Nasdaq taking the brunt of the selling, down almost 4%. Non-farm payrolls came in with a weaker than expected 18k and the jobless rate jumped to 5%. In Interest rate land, shorter maturities are leading the rally with the curve steepening. Multiple firms are coming out with calls for the fed funds rate. Goldman and JP Morgan are saying that the fed will cut rates by .50 basis points when they meet in a few weeks.
The writing is on the wall……
- BA