2019 Econoday Investor's Journal Buy Now
Market Reflections  

January 5, 2018
December's moderate 148,000 gain in nonfarm payrolls understates the strength of the report that includes strong increases in construction and manufacturing payrolls and a 4.1 percent unemployment rate which is a 17-year low. Wage indications in the report did rise but improvement here still has far to go. Other data in the session include a deep swelling in the nation's trade deficit, which will be a negative for fourth-quarter GDP, but another mostly solid month for factory orders.

Stocks were very solid, opening the year with a 2.3 percent weekly gain for the Dow which is now easily over 25,000 at 25,295. Oil also had a strong week, rising 2.4 percent to $61.61, as did gold, up 1.2 percent to $1,320. Both short- and long-term yields in the Treasury market rose with the 10-year ending at 2.47 percent. The dollar index slipped 0.3 percent on the week to 91.96.