Markets will be setting up for Friday’s jobs report Thursday as investors await another batch of earnings reports, including Amazon.com.
Traders are looking for a stronger than currently forecast showing for January employment, after ADP Wednesday reported a stunning 246,000 private sector payrolls for January. Economists currently expect 175,000 payrolls in the government report, but that number could rise ahead of the Friday report.
Bond traders were disappointed Wednesday, after the Fed put out a rather neutral postmeeting statement, leaving the door open for hikes this year but with no sense of timing. Some had expected the Fed to upgrade the economy and make such hawkish statements that the March meeting would come into play, for the next rate hike. The market currently expects the next hike in June and gives about 20 percent odds to a March hike.
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