Friday, September 5, 2014 - Article by: Joe Shamie - First Choice Loan Services -
Friday - September 5, 2014 - 1:45 pm ET
Current Trend Direction: Sideways
Float/Lock Bias: Locking short term
Current Price of FNMA 4.0% Bond: $105.91, +9bp
And the survey says142K jobs were created in August, far below the 223,000 expected and recent trend of 215,000+ per month in 2014. Adding insult was a downward revision to June, where 28,000 less jobs were created. The Unemployment ticked down to 6.1% from 6.2% - which could be viewed as the silver lining, but the Unemployment Rate has lost a lot of its relevance because of all the noise in gathering the report.
The more meaningful number in our opinion is the Labor Force Participation Rate which fell to 62.8% from 62.9%, matching a 36-year low as 64K Americans dropped out of the workforce. Seeing that number drop because people leave is not a good thing.
Rounding out the report - Hourly Earnings were steady at 0.2%, average workweek remained at 35.5 hours.
This was not a good report, but historically, August Non-farm payrolls have been prone to sharp revisions higher as many households and businesses fail to respond to the government surveys. And this is one reason why the markets have not overreacted to this report.
Joe Shamie NMLS # 241432
First Choice Loan Services NMLS # 210764
First Choice Bank NMLS# 177877
866-970-3400 x-5135
Didn't find the answer you wanted? Ask one of your own.
Ask our community a question.
Featured Lenders
RBS Citizens
Clifton Park, NY