JPMorgan Chase: Non-Farm Payroll Data Must Be "Just Right" to Support Stock Market Rally

BlockBeats News, February 7th, JPMorgan Chase stated that the U.S. nonfarm payroll data to be released tonight at 21:30 must be just right — neither too hot nor too cold — for the U.S. stock market to continue its upward trend. The trading department led by Andrew Tyler said that if the new job additions are below 150,000, the stock market will decline, and if the new job additions exceed 230,000, it will also put pressure on the stock market as it will increase the bet on the Federal Reserve's need to raise interest rates.

The trading department mentioned that in a pessimistic scenario, "the risk lies in the job market cooling faster than expected, dragging on spending." Their forecast suggests that a number as low as 110,000 would cause the S&P 500 index to fall by 1.5% because it indicates that concerns surrounding global trade are affecting the U.S. economy at a faster pace than expected. (FXStreet)