Strong JOLTs data accelerated stock & bond selloff. Eyes on ADP! | MarketTalk: What’s up today? | Swissquote

Show notes

Even a hint of an improving US jobs market sends shivers down investors' spines.
This is why the stronger than expected job openings data from the US spurred panic across the global financial markets yesterday. Note that the JOLTS data is volatile, and one data point is insufficient to point at changing trend. We still believe that the US jobs market will continue to loosen.
But the market reaction to yesterday’s JOLTS data was sharp and clear. The US yields spiked, equities were sold and the US dollar extended rally. Due today, the ADP report is expected to show a significant slowdown in US private job additions last month; the expectation is a meagre 153’000 new private job additions in September. Any weakness would be extremely welcome for the rest of the world, while a strong looking data, an - God forbid – a figure above 200K could boost the Federal Reserve (Fed) hawks and bring the discussion of a potential rate hike in November seriously on the table.
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