Breaking Down March’s Jobs Report
FBN’s panel talks about the government jobs report released today.
- Duration 7:20
- Date Apr 6, 2012
FBN’s panel talks about the government jobs report released today.
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-- -- right there let's bring in ray Hennessey director of business -- -- your take.
It's just a brutal number and and I think what what what's concerning if you look at them at retail.
Year I think what people did was they they came out of their Christmas season and there was still some buying afterwards of people decide to hold -- to workers.
Now they decided to get rid of those people because again you don't have -- necessarily consumer.
I also think that you may get some weather impacted that they may explain why we saw some.
Those loss in construction jobs.
Because I think a lot of the projects that would have been otherwise been scheduled for the spring.
Got started early and got finished early because of -- of easy weather in in January February and even December so.
I think there there's some things like that but this is not a good number by any stretch of the imagination and the worst number the -- reported.
With the fact that the labor for shrunk.
So you're in this situation where.
The job market is not getting better than narrative that was created last month by such a great number just doesn't hold it isn't sustainable and so.
It's starting to look like the Federal Reserve's view of the labor market may be correct that you know we see these pockets of strength here in there.
But there's nothing that suggests sustainability and in fact there's still are a lot of people lot of Americans are discouraged in -- rather see -- a home.
-- go out and get a job for a number of different reasons maybe it's -- employment benefits but maybe it's also the lack of of job opportunities that are out there.
And of your labor force is shrinking at this at this part of the recovery give a serious problem.
And the danger becomes self fulfilling race it right there I've promised your power panel and we got it has not only is it here -- -- NSA.
But Stephen Moore is standing by also Cheryl Casone is joining us right now -- first I wanna go to Stephen -- because Stephen was chomping at the bed he was very positive.
About what we're gonna see and now well they do.
Let air out here.
-- Yeah eyes you're dead.
Hi I'm not quite as discouraged.
As that previous analysis but I do think it's pretty disappointing given what we had hoped -- You know I'd I'd be -- I just got the report so I haven't been able to read Detroit -- Maybe Peter can tell the answer because he got the first look at that's but I'd love to know what the number was for the for the household survey because as you know nobody can they do a household survey -- not a -- survey and the last several months the household survey showing a lot more jobs.
Created that in the -- the -- survey.
But you know what I do agree that most discouraging number here is the reduction in the -- labor force participation rate I mean that is.
You know as you just heard that's usually the sign debate about an economy that's receding not growing -- Not very good numbers and certainly disappointing given what we had hoped for -- given by the way.
What the unemployment insurance numbers we had signaled which would be that -- get a much better number.
Ask you real quick.
The number of unemployed look at the household survey number of unemployed persons twelve point seven million in the unemployment rate eight point 2% we're both a little changed.
That officially that's the line from -- and -- -- -- previous in the previous three reports we had picked up a million jobs out.
You know it's it's just it looks like let's hope this is just a pause in the in the hiring because you know.
-- -- country -- and it's interesting that manufacturing was really strong one of the leading areas where we saw job growth because that's the sector.
That had been most devastated by the recession.
And as an interest thing that's the sector that now is -- is one of the sectors it's growing the fastest show -- -- you real quick.
Any good here.
About from a market perspective I do see a couple of positives here look I mean this was a brutal number obviously.
We did not make estimates here on any level of the take Hillary -- -- term very troubled by that but at the same time.
Think about it everybody the first three months of this year the first quarter of 2000 -- -- had an amazing run on the markets a big piece of that.
Was because many market participants were bacon on more of their favorite drug.
And that is quantitative easing stimulus there are looking for that this -- now make the argument.
That the Fed may actually continue with its bond buying program if you get that -- you have a completely different market come Monday morning remember the markets are closed today we have all weekend.
To go through those people have time to make phone calls.
Email each other talk about what they think is the wet -- -- play this and for a market perspective you can't play this little want -- and it because the gonna be a negative for the housing sector is gonna be -- -- was mentioning as well the construction number that's troubling to see on the construction side because.
We did expect because of the unseasonably warm temperatures to see more of a boost in building and a lot of the major homebuilders have been on -- activists there.
Look at that sector over the first quarter of 2012 amazing numbers.
So again yes from an overall perspective.
Bad report but I think that by Monday morning you're gonna hear a lot of the analysts and well obviously remembered that it's gonna have to do something.
That rhetoric is -- -- through to train -- across to -- -- -- I -- -- -- -- -- I one real -- that -- -- hit on it that that's what you want is an investor do you want us veterans are that is.
Excessively accommodative or do you want an economy that stands on its that's.
Really gotten it yet to be utilized that's the big point but but -- and I wanna take issue with the Labor Department itself and the government itself on something.
This report today and the reaction in the futures that were only going to be getting for like 45 minutes.
Is the reason why.
A report like this should never be released on a day when there's no liquidity shall -- -- -- group released by the way when the market to close.
Not only of the markets closed here they're close in Europe.
And Europe's gonna closed on Monday to so the reaction to see people can't trade on this information in the way that they should be able to this is a tradable number it's beyond -- the economy.
And if it just I mean I know they've done it before.
I just don't understand why when the markets closed any economic data is ever released because a free market needs free markets on which to trade all this information.
You -- white asparagus and if you look at right to the white digest it does that not I mean why do you need to BO it -- them because if the Labor Department changes the day they're going to be criticized.
Don't you think for -- -- -- black helicopter crowd out well that would get what the black helicopter -- gonna criticize them for releasing a bit report on the -- -- -- -- the market to close -- -- black helicopters are.
-- around a matter who's criticizing them.
You know we're we're big we need an open market on which -- to trade something like this right right now and and so.
You know and -- Charles got -- got a good point because nobody really knows what's what's gonna happen what wins -- is -- the QE3 folks who went out on Monday.
These -- the people want they've -- strong economy we.
Is it people you could make this scenario that the markets trade higher on Monday because people are gonna think that this works in favor of the Republicans taking over the White House and congress.
Biggest economies -- you can make a million things but the point is is that if you got money that's tied up.
You know the good news by the way is that the market over the past few days with taking money off the table in anticipation of this report and in truth they got -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- Get ready for Monday but then you've got Europe close if we get any what are negative piece on Europe and world is gonna go home and hide under our pillows -- yeah.