Interesting times we are living in, when bad news appears to be good news.
Take the disappointing private payrolls number which was just released hours ago. In August, private payrolls rose by 374k which was well off the estimate of 600k.
However, judging from the greens in the markets, investors are cheering. The economy may not be growing at an ideal pace which is bad news, but the good news (which I believe from the investors point of view) is that the Fed will continue to support the economy as the Fed noted that there's “much ground to cover” before rate hikes.
So the good news amidst the bad news is that we may continue to enjoy accommodative money policies with interest rate hikes off the table for now, which benefits stocks.
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