Stocks Post Losses on Weak Employment Gains

March 11, 2019

Stocks Post Losses on Weak Employment Gains Photo

U.S. equities posted their largest losses since January due to pressure surrounding global economic growth, trade tensions and a weak employment report. On Friday, February’s jobs report disappointed with only 20,000 new jobs added despite an expectation of 180,000. The unemployment rate ticked down to 3.8% and average hourly earnings increased by 3.4% year-over-year. 

This week, markets will get their most comprehensive view of the Chinese economy. The current state of the country’s growth will be closely scrutinized as a flurry of economic data is scheduled to be released. I remain positive on equity markets, but the next few weeks have several headwinds to navigate given 2019’s significant rally thus far. 

Keep a close watch on interest rates as the 10-year Treasury continues to hover near 2.6%. If rates move below 2.5%, I will adjust my odds higher of a U.S. slowdown.

Tags: China | Jobs report | Economic data

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