News Headline Summary

US Change in Nonfarm Payrolls (Nov) M/M 146K vs. Exp. 85K (Prev. 171K, Rev. 138K), Net -49K

- US Change in Private Payrolls (Nov) M/M 147K vs. Exp. 90K (Prev. 184K, 189K)
- US Change in Manufacturing Payrolls (Nov) M/M -7K vs. Exp. -4K (Prev. 13K, Rev. 10K)

- US Average Hourly Earnings All Employees (Nov) M/M 0.2% vs. Exp. 0.2% (Prev. 0.0%)
- US Average Hourly Earnings All Employees (Nov) Y/Y 1.7% vs. Exp. 1.7% (Prev. 1.6%)
- US Average Weekly Hours All Employees (Nov) M/M 34.4 vs. Exp. 34.4 (Prev. 34.4)

- NFP Birth/Death adjustment (Nov) -29k s. Prev. +90k
- Participation rate fell to 63.6% from 63.8%.

Reaction details (13:44)

- In the one minute following the figure, E-mini S&P immediately rallied from 1,408.75 to 1,416.50, with WTI gaining USD 0.30 to USD 86.65. T-Notes fell by 10+ ticks from 133.29+ to 133.19. Over the same period, Mar 13 Eurodollar fell a tick from 99.70+ to 99.69+.
- Additionally, Spot Gold fell from USD 1,698.25 to USD 1,686.00 as the strong headline number could give the Federal Reserve less impetus to embark on additional asset purchases at their rate-setting meeting next week.

Analysis details (13:38)

- The participation rate fell to 63.6% from 63.8%, meaning less workers entered the labour force, allowing the unemployment rate to fall to 7.7% from 7.9%. The BLS have said the response rates in the affected states were within normal ranges in November. This leads to conclude that Hurricane Sandy did not substantively impact the national employment and unemployment estimates for November.

07 Dec 2012 - 13:30 - Fixed Income Data - Source: Newswires

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