Nonfarm payrolls were undeniably affected by the hurricane and strikes in October. Nevertheless, the plunge from 223K to 12K – well below estimates of 125K – is likely to provide the FOMC with all the cover they need to cut rates again when they meet next week.
Futures have rebounded, retaking the 50-day moving average. But, the rising wedge has clearly broken down.
continued for members…
What isn’t yet clear is whether or not a robust backtest could take ES/SPX to new highs.
