By Bill Hornbarger, Chief Investment Officer
Three Things to Watch
- The May employment report will be closely watched when it is released on Friday. 674,000 new jobs are expected after last month’s disappointing 266,000 payrolls. That was about a quarter of what was predicted from the consensus forecast of economists. Two consecutive months of poor jobs reports could make the equity markets nervous.
- The Fed’s Beige Book report on economic conditions is expected Wednesday, bookended by the Institute of Supply Management report on manufacturing Tuesday and the service sector on Thursday. Fed Chairman Jerome Powell speaks on central banks and climate change at the Green Swan 2021 global virtual conference Friday.
- June is historically a seasonally weak month for equities with the Dow down on average 0.7% for the month over the past 20 years.
Three Things to Know
- In April core PCE (personal consumption expenditures), the Fed’s favored inflation measure, was recorded above 3% for the first time since 1992. (Source: Bureau of Economic Analysis, Haver Analytics)
- The number of people in the U.S. holding master’s and doctorate degrees more than doubled from 2000 to 2018, increasing from 10.4 million to 21 million and 2 million to 4.5 million respectively. Holders of bachelor’s degrees increased from 29.8 million to 48.2 million during that time. (Source: U.S. Census Bureau)
- The rules for when the American flag is raised and lowered are different for Memorial Day. The Stars and Stripes should be raised briskly first thing in the morning. But on Memorial Day, the flag is raised only to half-staff. At noon, the flag should be raised to full-staff until it’s taken down at sunset. Memorial Day is the only day that observes both positions on the flagpole. (Source: Military.com)
The above information reflects the current opinion of the author. It is based upon sources and data believed to be accurate and reliable. Opinions and forward-looking statements expressed are subject to change without notice. This information does not constitute a solicitation or an offer to buy or sell any security mentioned.