This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Stocks Close Higher Despite Job Losses

"I would have to broadly describe the report as being pretty disappointing," said Keith Hembre, chief economist and chief investment strategist at First American Funds of Minneapolis, who was struck by declines in labor participation rates. "Basically if the participation rate were the same as it was back in August, then the unemployment rate would be up significantly."

The labor participation rate was 64.6% in December, and there were 929,000 discouraged workers, compared with 642,000 a year ago.

Still, Hembre expects job numbers to venture into positive territory in the coming months.

"We're moving toward stability in the labor market. We're not there yet. Unemployment is extremely high and it will be extremely slow to fall but the implication for the Fed is that we're a ways off from them raising interest rates."

Prices on two-year Treasury notes rose, with the yield down to 0.972%.

Wall Street has been preoccupied with the report throughout the week, as employment data has filtered in. On Wednesday, the ADP jobs report showed that private employers cut 84,000 jobs in December, and on Thursday, initial jobless claims came in at 434,000, adding 1,000 from the previous week but growing at a milder rate than Wall Street expected.

With the labor market struggling, curbed access to credit and declining borrowing led to a record $17.5 billion tumble in consumer credit for November, according to Federal Reserve statistics released in the afternoon. Consensus forecasts estimated a $5 billion drop.
3 of 4

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AKS $4.68 0.00%
APOL $7.80 0.00%
BAC $14.56 0.00%
KO $44.80 0.00%
UPS $105.07 0.00%


Chart of I:DJI
DOW 17,773.64 -57.12 -0.32%
S&P 500 2,065.30 -10.51 -0.51%
NASDAQ 4,775.3580 -29.9330 -0.62%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs