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

September Jobs Report: What to Expect

NEW YORK ( TheStreet) -- Investors looking forward to exciting news from the September non-farm payrolls report on Friday may be disappointed. Most economists and analysts are expecting a performance similar to what happened last month with the private sector showing modest growth.

Private sector payrolls are expected to increase by 74,000, according to consensus estimates from,m after rising 67,000 in August. Estimates from economists polled by TheStreet ranged between an increase of 60,000 to 100,000. The overall unemployment rate is expected to tick up to 9.7% from 9.6%, though some experts do not rule out a higher rate as previously discouraged workers re-enter the workforce.

The market has been struggling for direction in recent days as the latest economic reports have sent conflicting signals on what to expect on the employment front.

On Wednesday, the ADP National Employment Report showed private sector jobs fell 39,000 against a projected increase of 18,000. . That was more or less in line with a Challenger Gray & Christmas report that showed September layoffs increased by 7% to 37,151.

On Thursday, the Labor Department said initial claims for the week ended Oct. 2 showed a surprise drop to 445,000 from 456,000 a week earlier.

Earlier in the week, the ISM nonmanufacturing data showed an improvement in both the index of new orders and employment, boosting hopes for more hiring in the sector that provides the most jobs in the economy.

However, the numbers did not provide a strong-enough signal, according to Brian Bethune of Global Insight. "I would like to see the services employment index go up higher," he said.

The lack of strong signals has led to largely modest expectations from the jobs report. Analysts expect the service sector to continue hiring, while the manufacturing sector is expected to show a slowdown. Construction will continue to be weak and would likely record a decline.

More job cuts may also be in store at the state and local level with the impact of the Census hiring fading away.
1 of 2

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
AAPL $94.99 -0.02%
FB $99.54 -0.21%
GOOG $678.11 -0.68%
TSLA $148.25 0.18%
YHOO $26.82 -0.85%


Chart of I:DJI
DOW 16,014.38 -12.67 -0.08%
S&P 500 1,852.21 -1.23 -0.07%
NASDAQ 4,268.7630 -14.99 -0.35%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs