Dan Brecher
Counsel
212-286-0747 dbrecher@sh-law.comKey Contacts
Back
The U.S. Labor Department’s release of the monthly jobs report has a significant impact on the market. The report contains key employment data related to all aspects of the job market, including the unemployment rate, and is an indicator of economic health. But with adjustments being made after each monthly report, we are left to wonder how meaningful the report is to anyone other than stock traders and newscasters?
A positive jobs report is viewed by many investors as a sign that growth is back on track, which tends to lower prices on yield-based securities. The Federal Reserve is more likely to increase interest rates, which results in yields to rise and prices to fall in rate-sensitive portions of the market. Additionally, a positive report can result in inflation.
A negative jobs report has the opposite impact. The Federal Reserve is more likely to cut rates and it reduces the likelihood of inflation, both of which can positively impact prices of rate-sensitive investments.
So, does the jobs report actually indicate how the economy is doing, or does the market simply react if the report turns out differently than expected? The recent April jobs report revealed the creation of 288,000 jobs from an upwardly revised 203,000 in March, with the jobless rate of 6.3%. Expectations were for only the addition of 210,000 jobs in April, so the average person can be happy with this report, and the Federal Reserve has indicated that it expects job growth to continue to improve.
If you have any questions about the impact of the jobs report or would like to discuss other corporate, securities and investment banking matters, please contact me or the Scarinci Hollenbeck attorney with whom you work.
- Locations: Red Bank, NJ, New York City, Little Falls, NJ
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Related Posts
See all
Breach of Contract Explained: Types and Consequences
Breach of contract disputes are the most common type of business litigation. Therefore, nearly all New York and New Jersey businesses will likely have to deal with a contract dispute at least once. Understanding when to file a breach of contract lawsuit and how long you have to sue for breach of contract is essential […]
Author: Brittany P. Tarabour
How to Dissolve a Corporation in New Jersey: A Step-by-Step Guide
Closing your business can be a difficult and challenging task. For corporations, the process includes formal approval of the dissolution, winding up operations, resolving tax liabilities, and filing all required paperwork. Whether you need to understand how to dissolve a corporation in New York or New Jersey, it’s imperative to take all of the proper […]
Author: Christopher D. Warren
Gross Lease vs. Net Lease: Understanding the Key Differences
Commercial leases can take a variety of forms, which is often confusing for both landlords and tenants. Understanding the different types, especially the gross lease structure, is important when selecting the lease that best suits your needs. One key distinction between lease types is how rent is calculated and paid. This article addresses the two […]
Author: Robert L. Baker, Jr.
What to Do If You Are Impacted by a Retailer Bankruptcy Part 2
Over the past year, brick-and-mortar stores have closed their doors at a record pace. Fluctuating consumer preferences, the rise of online shopping platforms, and ongoing economic uncertainty continue to put pressure on the retail industry. When a retailer seeks bankruptcy protection, a myriad of other businesses are often impacted. Whether you are a supplier, customer, […]
Author: Brian D. Spector
The Current Administration's Proposals for the Financial Services and Banking Industries Will Affect Your Business
Since his inauguration two months ago, Donald Trump’s administration and the Congress it controls have indicated important upcoming policy changes. These changes will impact financial services policies and priorities. The changes will particularly affect cryptocurrency, as well as banking rules and regulations. Key Regulatory Changes in Cryptocurrency For example, in the burgeoning cryptocurrency business environment, […]
Author: Dan Brecher
Tips for Commercial Landlords Impacted by Wave of Retailer Bankruptcies Part 1
The retail sector has experienced a wave of bankruptcy filings over the last year. Brick-and-mortar businesses in financial distress include big-name brands like Big Lots, Party City, The Container Store, and Vitamin Shoppe. When large retailers seek bankruptcy protection, they are not the only businesses impacted. Landlords can be particularly hard hit. While commercial landlords […]
Author: Brian D. Spector
No Aspect of the advertisement has been approved by the Supreme Court. Results may vary depending on your particular facts and legal circumstances.
Sign up to get the latest from our attorneys!
Explore What Matters Most to You.
Consider subscribing to our Firm Insights mailing list by clicking the button below so you can keep up to date with the firm`s latest articles covering various legal topics.
Stay informed and inspired with the latest updates, insights, and events from Scarinci Hollenbeck. Our resource library provides valuable content across a range of categories to keep you connected and ahead of the curve.