By Barry Ritholtz of The Big Picture
Here is the latest silly storyline of the month, aka media filler:
The Fed is debating tapering QE; Today we will get the very last Employment situation report before their next FOMC meeting. In case you have not been near a TV the past month, this FOMC meeting is the big one, where they decide to taper or not. Some have called it a “Mega Jobs Report.”
Yawn.
No, its not. The Fed does not make such decisions based on a single report. They are well aware of the various issues with NFP modeling. They may suffer from cognitive biases, but I doubt recency effects regarding monthly NFP is one of them…
Below you will find some links that will give you the full monty on why most NFP releases are typically the most overhyped, overrated economic data point of the month.
Keep reading The Big Picture for Barry's thoughts on the Big NFP Release.
