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Brown University Adjunct Professor David Wyss on the July jobs report and future Federal Reserve action.
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In a professional -- is name is David weeks known for years he is the adjunct professor at Brown University.
Former chief economist that's kind of and -- All right how would you characterize a 163000.
New jobs but a rise in the unemployment rate to eight point three.
That's normal -- 163000.
New jobs is a sluggish number.
It's below what you need to hold the unemployment -- -- -- -- of this recovery that -- our middle market recovers in the -- this is the weakest recovery we have ever seen for an extended period at least since the 1930s in July of 1980 fall the same stage of Ronald Reagan's post on a July 2012 the stage of Obama's -- tone.
3121000.
New jobs in July 198463000.
This time around -- we said this was a half speed recovery that's just about exactly half.
And Jeep and you were on the show just couple days ago last week and saw last week.
And gotten -- -- -- -- -- -- and you are saying -- we're gonna keep on bumping along the bottom this report confirms that.
-- -- this is pretty much in line this is actually a little stronger than we expected that's where the -- -- market doesn't care whether it's stronger -- just compared is.
Didn't do better than they expect way to make you think the Dow is up 219.
Points because we've got a 163000.
Jobs in one month it was up a 100000 and as far as a hundred points in the future before -- open it up another hundred points just since the end Ben Bernanke they think he's gonna print because this was -- and enjoy being detained since they purity.
Was the report they were expecting hundred came -- a 163.
That's a hires -- what you know.
Whiteman and -- professional economists and -- not okay bought.
They revised downward the June number I -- 80000 to a mere 64000.
That's a pretty reliable mumbled looking back of -- sixty days at 161000 there were up 60000 more than expected.
Take that into account it's still a stronger report than expected.
By historical standards this is a weak report you need about 250000.
Jobs just this -- what we're not.
I -- what what did -- you're right I mean at the Wall Street is all about the expectations game people watching this don't.
Company loses 25 cents.
At the worst quarter reverend a stock's up 1000 points.
Don't have the best quarter ever in its fifth street it's not that out of the other point I mean look at the look at the text accident come out when they lose muggy in the go up -- but until what is no account of attacks don't but do you do you think up.
It will write them -- -- not yet if you -- your economists.
You looked at the report you think it's weakened off you said it's relatively weak you think -- weak enough to make Ben print come September.
I don't think -- -- in September but if this continues.
The Fed doesn't like to do anything in the run up to the election.
And my guess is anything will be delayed until they find out what's going to happen to that fiscal cliff at the beginning of the year until they see what happens in the election.
What happens if we get a tax increase on those making more than two and -- I don't fall off that fiscal cliff.
Either on the spending side or the tax side or both which is probably likely.
Than the Fed is going to have to do something to print money and it's okay about -- -- -- for sure.
But David weeks adjunct professor at brown thanks very much for joining us -- --
