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Turn out spring you signaled it was portfolio manager Kevin Corrado talk more about doubts that teams pay and the jobs report haven't you and you're not this press.
-- sure but the jobs report no.
It for sure is nice to see the down making new highs.
That employment number though.
Really was right around where the trend line has been for the last couple of years about a 150000.
Jobs a month.
And we know that -- month month revisions can be large if you look at the month before we had a big revision up in the jobs number.
So ultimately unless you have a big big mess media.
Fifty or a 100000 job -- It's another number it's a good number it's nice to see it and it's right on that trend line about 2% growth in the private sector in terms of job with right now is okay.
Feel a lot of these jobs added I want what I couldn't keep it on the market's been one of these jobs a retail jobs service sector jobs food service jobs as a lower paying jobs so explained we let the market.
Is so excited exuberant today -- why the bond market is getting crashed.
Well I wouldn't make too much out of the stock market move really what we saw back in September was.
Mark of situation where fundamentals are -- -- get better we've had an improvement in equity values all along the way and we are looking at record highs here so I wouldn't make.
Too much at one -- move.
In the stock market you could have had a very bad jobs number last month was very bad there were some traders who came into the trading session state thinking boy.
If last month was bad this could be even worse they didn't get that bad but they inequity and enterprise but we do have a revisions -- -- from march as they revise the next check extra candy on top of the case and -- and they revised not so if you're focused on the jobs number -- got good news if you're thinking that what central banks might be -- get.
Data -- we get some information out the ECB yesterday and the -- the day before that all of that all of the information on those fronts have been pretty good this week.
Aren't you earnings per oak -- Eric ever corporations excuse me have been even decent and -- -- -- some revenue misses overall it's been kind of -- -- for the quarter not bad just kind of flat.
So but with the jobs number like this if you look at those lower paying jobs and that's the majority of the creation that we're seeing right now.
That means that companies are paying their workers less.
Getting more productivity out of them so that's good for the shareholder that's good for the company.
Well it's great in fact if you think about where if you think you have your bargaining position if you employer and you've got to seven and a half percent unemployment rate.
You've got a large pool of workers coming in lots of college workers very well educated for example.
Looking for jobs and puts the employer -- -- -- very advantageous position in negotiations and that's why we have record -- Let's talk about the -- of the amendment until mandate is monetary policy and employment -- way to the Fed is saying today and in their inflation targets are.
Are kind of been -- there and there would be -- basing what they're gonna do the next meeting.
Based on inflation target.
Well the Fed is that the Fed isn't it it in a position continue to ease I know there were some that who were expecting them to look for the exits this week.
But that's not the case at all because you've got a 1% inflation rate.
When you look at the inflation measure that they are looking at.
And then secondly when you look at where unemployment is at seven at seven and a half percent unemployment rate.
They're talking about maybe full employment.
Natural rate of unemployment is maybe around 66 and a half percent you're still far away from that.
So they're missing on the inflation goal they're missing on the employment call and that gives them all the ammunition.
Along with the fact that the jet the Japanese and -- and Europeans are easing monetary policy that got all the room in the world that can TE's.
And continue with quantities.
You know another is kind of a side note here but you know if you look at what health plan our our correspondent out of Chicago is talking about -- -- about the fact that yes -- -- -- getting hit but mortgage rates are actually -- a new low one of the bright spots the -- spots that we liked in the stock -- has been.
Has been how saying it's been bill -- it's been.
This company's related to whether it's your home deep lower your -- Do you think that that's kind of a net positive for that group that -- well.
That's been it's been a net positive for the group the group has been supported by all of these efforts to push down mortgage rates.
You talk about Fannie and Freddie for example where has been the talk about reform for those two organizations that's pretty much been pushed off the table so.
When you look at the mortgage complex it's low rates its availability of credit and all of that is obviously a natural good in the short run.
We still have a long way to go before we can say that you've gotten to a point where -- cleared all of all of them.
Biggest question -- -- biggest question that we keep getting is -- do you sell in May go after you know all that and you've heard for years.
But do you think it's gonna happen this year this is -- course of analysts saying maybe not so for the first time in four years.
I don't think kids act -- -- that you invest by the calendar I think what you do as you look at a portfolio.
Let's say you've had a big appreciation in the stock -- its -- your price target.
You might want to reconsider that investment there are other companies have pulled back during this earnings season that -- provide a better investment I think ultimately.
What you need to be focusing on is quality to balance sheet consistency of the profitability in reasonable valuation -- And if you own those kind of companies stay -- those companies if you can find new ones in this earnings season go by them but if you hit price targets the.
Isn't this the C delta to get this much is it Kevin if there is very nice -- -- moment.
I haven't -- thank you very much thank you for him.
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