And away we go!
The much anticipated jobs report not only came in 10% better than expected at 110,000 new jobs but the August payroll was revised upwards from -4,000 (which caused the Fed to rush in with a rate cut) to +89,000, that’s a 2,325% adjustment folks!
As I said in last night’s wrap-up, I’m pretty sure these jobs numbers are the product of a random number generator as no human being could possibly miss by this much this consistently. The fact that we lend any credence to these reports is a total joke but the joke is on us so we may as well laugh along.
This should push us firmly into record territory despite the fact that unemployment was actually UP from 4.6% to 4.7% while average wages were up 4.1%, an inflationary indicator that could just as easily have tanked the markets on the heels of an inflationary rate cut which now looks like a massive overreaction by a Fed that is clearly (as Barry Ritholtz so aptly put it) "Wall Street’s Bitch."
Just remember when Cramer punches his "they know nothing" button that it is clearly he and every other Fed basher that knows nothing as these job numbers and wage report clearly indicate that the Fed was absolutely correct in their assessment that the economy was not in danger of slipping into a recession and that inflation should have been much more of a concern than bailing out Jim’s speculator buddies who had followed his advice all year to BUYBUYBUY anything that moved based on his "if the stock is at $80, it’s going to $100 and if the stock is at $100, it’s going to $120" premise. This is the same ridiculous bubble hype that bankrupted millions of investors in the early 90s and the Hypemiester General knows that sustaining a bubble like this requires a constant supply of new capital in order for his pals to get out at the top.
OK, that’s enough of that, time to switch off our brains and enjoy the rally!
President Bush will come on TV at 9:55 to speak about the economy, this is incredible timing as he scheduled this conference well in advance of the jobs report and didn’t schedule any such conversation following last month’s dreadful numbers so bravo to the President for his excellent sense of timing… Of…