Jim Cramer Is Keeping a Close Eye on Friday's July Jobs Report

Jim Cramer will be watching the non-farm labor reports coming from the United States Bureau of Labor Statistics on Friday August 7th. ‘Here’s the big problem with these numbers,’ Cramer said, ‘if it comes out and it’s very strong, you’re going to hear Fed Heads… saying ‘September is go time.’ Cramer explains that by ‘Fed Heads,’ he is referring to Federal Reserve governors and presidents from across the country. Cramer says that the market acts ‘like we are about to have a rate hike’ and as if ‘the mineral complex in oils are just literally going to dry up in terms of cash flow.’ On Tuesday August 4th, Dennis Lockhart of the Atlanta Fed, said that there would need to be ‘significant deterioration’ in economic data before the central bank from lifting interest rates after the next monetary policy meeting. The statement also said that September would be the ‘appropriate’ time to lift rates. As a result of Lockhart’s statement, many investors increased their expectations that the Fed would raise rates in the next few months. Cramer says to ‘be aware that the action you are seeing in the commodities is directly related to the employment number.’ Cramer says that the connection between commodity prices and the non-farm labor reports ‘makes it so important that it not be too strong or the selloff in commodities continues.’