With investors awaiting the government’s key monthly employment report, stock futures changed very little as investors avoided any big moves.
While there is concern on Wall Street about a weak labor market, traders seem to be waiting on the sidelines to examine the pace of hiring before making any major decisions. The Standard & Poor’s 500 Index has also fallen the past two days after disappointing reports on hiring by private employers and weekly jobless claims with the unemployment rate expected to rise from 9.7 percent to 9.8 percent.
With this information in the public domain, the economy is only expected to grow modestly in the near future but we still see signs of hope which is a major improvement from where we’ve been the last two fiscal years.
While some of this information is not what we had expected, there is hope ahead. With an abundance of census workers jobs provided by the government, investors will be looking to see whether hiring by private employers accelerated last month. Economists estimate private employers added 112,000 jobs last month.
This summer will be a critical time for companies and their investors. Most believed this economic funk would be over at this point with continued slow recovery. Nevertheless, it is clear that Wall Street is fighting to get back on its feet and bring good news and dividends to investors across the board.