In handicapping the Jobs Report - bottom line, tomorrow's (Friday) number won't be pretty, and the Stock market probably won't like it. As we mentioned earlier, an already negative techinical picture fo Stocks could be exacerbated by a nasty jobs number. That means negative action in Stocks could mean improvement for Bonds, meaning rates could improve a little.
Current expectations are for a loss of 520,000 jobs, but whisper numbers range from a low of 500,000 to as high as 550,000 jobs lost! I also expect higher revisions to the proor month's reading and what my hurt Stocks is the uptick in the Unemployment Rate...to 9.2% up from last months 8.9%. I would not be surprised to see it tick uup even higher. You can hear the media now talking abut nearly 10% unemployment and we don't see Stocks liking this, the the benefit of Bonds! Remember the Jimmy Carter days? Oh for Ronald Reagan again!!
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