ADP Report for August Shows Gain of 91,000

I am not clear at this point, if as market speculators we are cheering for good news or bad news, but judging from futures this ADP report was ‘just right’ – not too good, not too bad. According to ADP the private sector added 91,000 jobs. This is not enough to keep up with population growth or bring down the unemployment rate but of course not a negative number either. Nothing to dissuade the Fed from bringing in another round of helicopters, which is probably the most important thing to the market right now.

While this report and Friday’s government data rarely line up, if we assume 20-25K or so losses in the government sector, they would actually line up quite well with economists forecasts for a print of 60Kish.

Yesterday the S&P 500 held that 20 day moving average as it shook off the consumer confidence data – it continues to take bad news as good, and good news as good – this is David Tepper thinking circa 2010. Next stop is that 50 day moving average.

About Mark Hanna 542 Articles

Affiliation: Hanna Capital, LLC

Mark Hanna is President and Owner of Hanna Capital, LLC, a registered investment advisory firm. Mark has been a follower of markets since the late 80s, with a focus on individual equities since the mid 90s. He has been a well known commentator in the financial blogosphere for the past 5 years, following a career in corpoporate finance and accounting. Mark attended the University of Michigan where he graduated with a degree in Economics.

As an avid reader, Market Montage is the personal blogging site for Mark to share his views on economics, markets, and the like. Occasional cynicism and wit shall be deployed in his postings.

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