Last Friday's nonfarm payrolls number proved that the labor market was becoming more firm as data outperformed expectations.
As economic data improves the Federal Reserve will eventually deem it acceptable to pull back on monetary easing.
Asset markets reacted to the near-term potential of tapering by selling treasury bonds, gold and fleeing emerging market equities.Emerging markets, like the U.S. market, are heavily influenced by interest rates and the flow of excess capital. When monetary policy is accommodative, it allows for funds to spread through more markets and assets increase in value. Follow @AndrewSachais This article is commentary by an independent contributor, separate from TheStreet's regular news coverage.
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