The Daily Interview: Not So Sanguine About the Jobs Report

While investors seem to have decided that last Friday's jobs report was ultimately more bullish than bearish for the market and the economy, there are some who would disagree.

Charles Lieberman Former Chief Economist Federal Reserve Bank of New York

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Charles Lieberman, former chief economist of the Federal Reserve Bank of New York and currently chief economist of Advisors Financial Center, an asset management advisory company, is one of them. Lieberman thinks the rise in unemployment could seriously affect household income and endanger an economic rebound in the second half of the year. He also fears that unemployment could increase to 5%.

On the bright side, though, Lieberman thinks the stock market will continue to rally simply because it has already reached bottom. He also thinks the unemployment figure gives the Federal Reserve all the more reason to continue to lower interest rates. ...