|Data for week commencing 30 September 2019|
Recession warnings in the USA were given a reality test and they failed! The latest jobs report for the Yanks showed 136,000 jobs were created, which wasn’t too far off the 145,000 predicted by economists. But even better, the unemployment rate fell to 3.5% - a 50-year low!
In many ways, it was like a Goldilocks result for stock market players, with the Dow Jones Index up 372 points (or 1.42%). The employment result says recession fears we saw over the week were overdone, which is what stock markets often do with good and bad news. However, the lack of over-the-top jobs growth keeps the hope for more interest rate cuts on the table.