- JOLTS makes history. April figures released yesterday showed that the number of job openings, at 6.7 million, topped the number of unemployed people (6.3 million) for the first time in the report’s 18-year history; prior peak was 0.7. Openings in manufacturing and services increased, though the number of hires was little changed. Labor turnover remained fairly static overall. Net employment rose 2.4 million for the month, indicating the labor market continues to tighten as the economic cycle continues to progress.
- Services data surprise to the upside. Both ISM non-manufacturing and Markit services came in better than expected, with backlogs in non-manufacturing orders hitting a record high and growth in services activity accelerating at rates not seen in three years. Inflation pressures increased as input costs rose, but robust demand and the order backlog, in conjunction with a tight labor market, point to continued upside for the U.S. economy.
- ECB to end QE? Recent headlines are suggesting the European Central Bank (ECB) could begin serious discussions about the timetable for ending its bond purchase program when it meets next week. However, recent data out of the Eurozone have been fairly weak, and recent political turmoil in Italy, causing yields on its sovereign debt to spike dramatically, may also help stay the central bank’s hand a while longer. Members will be keeping an eye on Italy’s government, and bond yields for signs of stabilization before finalizing a timetable.
- Trade Balance (Apr)
- China: Foreign Reserves (May)
- Eurozone: GDP (Q1)
- Japan: Current Account Balance (Apr)
- Japan: GDP (Q1)
- China: Trade Balance (Mar)
- China: Imports & Exports (Mar)
- Wholesale Inventories (Apr)
- Germany: Industrial Production (Apr)
- France: Industrial Production (Apr)
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual security. To determine which investment(s) may be appropriate for you, consult your financial advisor prior to investing. The economic forecasts set forth in this material may not develop as predicted.
All indexes are unmanaged and cannot be invested into directly. Unmanaged index returns do not reflect fees, expenses, or sales charges. Index performance is not indicative of the performance of any investment.
Investing involves risks including possible loss of principal. No investment strategy or risk management technique can guarantee return or eliminate risk in all market environments.
All performance referenced is historical and is no guarantee of future results.
There is no guarantee that a diversified portfolio will enhance overall returns or outperform a non-diversified portfolio. Diversification does not protect against market risk.
This research material has been prepared by LPL Financial LLC.
To the extent you are receiving investment advice from a separately registered independent investment advisor, please note that LPL Financial LLC is not an affiliate of and makes no representation with respect to such entity.
The investment products sold through LPL Financial are not insured deposits and are not FDIC/NCUA insured. These products are not Bank/Credit Union obligations and are not endorsed, recommended or guaranteed by any Bank/Credit Union or any government agency. The value of the investment may fluctuate, the return on the investment is not guaranteed, and loss of principal is possible.
For Public Use – Tracking # 1-736896 (Exp. 6/19)