~ The following article is from CNBC- Any bold or underlined words is from me
"Why Friday's Jobs Report Is Expected To Be So Gloomy" -CNBC
"September probably offered little relief in the nation's vexing unemployment problem, setting the stage for more Fed intervention that experts give only dubious prospects for success."
"When factoring in the other variables, that probably means zero jobs growth and an unemployment rate inching up to 9.7 percent from 9.6 percent, mainly because more unemployed people rejoined the search for work.
- U1: Percentage of labor force unemployed 15 weeks or longer.
- U2: Percentage of labor force who lost jobs or completed temp work.
- U3: Official unemployment rate per ILO definition.
- U4: U3 + "discouraged workers", or those who have stopped looking for work because current economic conditions make them believe that no work is available for them.
- U5: U4 + other "marginally attached workers", or "loosely attached workers", or those who "would like" and are able to work, but have not looked for work recently.
- U6: U5 + Part time workers who want to work full time, but cannot due to economic reasons; underemployment
"That's hardly what was expected when the government began spending its $810 billion in stimulus funds that was supposed to drive the unemployment rate down to about 8 percent by now. What has happened instead has been a slog through very slow growth in which GDP could rise as little as 1.5 percent in the third quarter, according to some estimates"
""With a lot of the spending, it doesn't seem to be sticking here. It's going somewhere else," says Doug Roberts, chief investment strategist for Channel Capital Research in Shrewsbury, N.J. "In the near future, nothing seems to be ready to radically reverse this.""
"Enter the Federal Reserve. The US central bank is expected to announce some form of quantitative easing-essentially the printing of money-as soon as its November meeting. A weak jobs report Friday likely would give Chairman Ben Bernanke and the rest of the Fed governors strong impetus to justify stepping in and taking other measures to drive down interest rates."
"But doubts linger about whether the Fed will be able to spur the economy. After all, the central bank's policies have yielded mixed success at best, with a $2.5 trillion balance sheet expansion still leaving the economy with near double-digit unemployment and consumer and business confidence weak."
~ If the Jobs Report is even a smidge better than people are thinking, expect the markets to irrationally go up a couple hundred points. If the report is accurate or on the mark, expect the markets to go up just 50-100pts. I say this because those who make their living in the stock market are soulless, non-violent sociopaths with no emotional connection to country or community; they only care to have more money at day's end than when the day began.
But understand that no matter what the markets do this week and beyond, the national and global economy is in a world of hurt.