October Jobs Report to be released on Friday
By Tazz Gault
The U.S. government October jobs report is due Friday, and will give a closer look at the current labour market.
The release of these results usually grabs hold of Wall Street’s attention and can lead to huge influences in the market, but with the election drawing closer, investor’s minds are elsewhere.
Market participants are choosing to sit on the sidelines, with some seeing the approaching election as an obstacle to committing new capital to the market.
Experts claim that many do not have the confidence to put down their bets when polling is so close, and as it stands, just a few percent linger between the two presidential candidates.
The highest levels of caution is expected to be seen in the financial, health care and energy sectors, as they are three areas that may face major changes depending on who wins the election.
It is thought that Obama could use this in his favour if results are better than expected, but if not, it could help Romney rake in the votes.
Analysts expect to see an increase of up to 10,000 added jobs from September, with approximately 124,000 added this month. But, with unemployment figures on the rise to 7.9% from 7.8%, it is difficult to judge the end result.
Companies listed to release their reports this week include Visa, Ford Motor, Starbucks, Chevron and Pfizer. Last week’s reports showed a number of high profile companies that have missed their target including Apple Inc and DuPont.
This Friday’s job data is the last major economic indicator to be released before the election on November 6th.