U.S. stocks have not reacted to the data, at least not in positive fashion, but when the U.S. unemployment rate drops below five percent, historical data indicate the results are often positive for stocks.
"With the US recently reaching a milestone 4.9% unemployment rate, and many market participants anticipating that the UK may report a similar milestone in the near future, FTSE Russell examined how indexes tracking US and UK markets fared during the rare extended periods of sub-5% unemployment in the last 20 years in these two markets,” said FTSE Russell in a recent note.
The index provider examined the Russell 3000 Index during periods of sub-five percent unemployment. That benchmark can be accessed via the $5.68 billion iShares Russell 3000 ETF (NYSE: IWV), among ...
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