1. US labor market added 64,000 jobs in November, surpassing forecasts. 2. Unemployment rate rose to 4.6%, the highest in four years. 3. Federal government shutdown delayed full jobs data release. 4. ADP reported 32,000 jobs were lost in November in private sector. 5. Jerome Powell cautioned about the accuracy of the jobs data.
FAQ
Why Bearish?
Rising unemployment and government shutdown contribute to negative investor sentiment, similar to past downturns like 2008 financial crisis.
How important is it?
Labor market health directly affects consumer spending and economic growth, which are critical for S&P 500 performance.
Why Short Term?
Immediate economic conditions may influence the S&P 500 negatively in the near term, especially if trends worsen.