According to CNBC, Friday’s May 2013 jobs report was the catalyst moving the market higher more than 200 points that same day. The report indicated that an estimated 175,000 jobs were added to the economy in May, which was more than the 155,000 increase that was expected. However, that doesn’t tell the real story.
Mark Whitehouse from Bloomberg
reports that when you compare the percentage of the civilian population aged 16
to 65 that is employed to the same average percentage of the 10 years preceding
the recession that began in 2008, the economy is still 9.98 million jobs short
of the number needed to put the employment-to-population ratio back at its
"normal" level of 72.5%.
That’s certainly nothing to get excited about. What likely moved the market
higher on Friday is the fact that investors realized that these tepid jobs
gains mean that the Fed will likely continuing its aggressive money printing
unabated. The insanity continues…