"Initially up premarket, the Vanguard S&P 500 ETF ( NYSEMKT: VOO) is turning tail and now looks likely to open at a loss of about 0.2%, after a private market jobs report from ADP was just released. According to ADP data, private employers cut jobs by about 32,000 positions in November, with job losses concentrated among small businesses. Businesses with more than 50 workers, said ADP, added about 90,000 jobs in the month."
"Is this good or bad news? It depends on who you ask - and what you want to happen because of it. For the workers who lost jobs, it's obviously bad; for those who got new jobs - good. For the stock market, it's bad news because it suggests the economy is struggling to deal with the double whammy of higher input costs from tariffs, plus the lingering effects of the government shutdown in October/November."
ADP reported private employers cut about 32,000 jobs in November, with losses concentrated among small businesses and firms with fewer than 50 workers cutting about 120,000 positions while companies with more than 50 employees added roughly 90,000. The Vanguard S&P 500 ETF (VOO) moved from premarket gains to a projected 0.2% loss after the ADP release. Weak ADP data raises concern about economic strain from higher input costs and the October/November government shutdown, while also increasing the possibility the Federal Open Market Committee could consider cutting interest rates at its December 10 meeting. The Bureau of Labor Statistics’ nonfarm payrolls report will follow on December 16. Macy’s beat earnings and guided higher but its stock fell 3.5%.
Read at 24/7 Wall St.
Unable to calculate read time
Collection
[
|
...
]