The stock market is set to open higher today on news that 171,000 jobs were added in October. The unemployment rate did rise slightly to 7.9% though. This increase in the unemployment rate can be attributed to more people coming back into the jobs market looking for jobs. Economists were only expecting about 125,000 new jobs after September’s 114,000 figure.
The services sector made up much of the jobs figure, accounting for 150,000. Government employment rolls saw a 13,000 decrease. according to the Labor Department. The improving economic reports across the board have investors and analysts optimistic about the upcoming holiday season, which usually sees a huge increase in seasonal hiring.
The labor force participation rate, which measures those who are looking for work, increased to 14.6%.
With the election only days away, this jobs report has been seen as a possible make or break moment for the two campaigns. The numbers bode well for President Obama who has said the economy is improving, although slowly.
At 9 am, factory orders will be released. Most analysts are expecting a 4.6% increase in orders despite August’s 5.2% fall.
While the news is good on this side of the Atlantic, European investors are now concerned that Greece’s ruling party will prevent an austerity bill from passing next week. This will negatively impact Greece’s chances of getting another bailout.