Beyond central banks, the most important data point is this week’s jobs read in America. The September NFPs report is currently slated by analysts to come in around 500k – that is, an extra 500k jobs added to the economy. This would push the unemployment rate slightly down and give the Federal Reserve the last reason needed to start tapering asset purchases. Isaac Poole from Oreana Financial Services says the Fed would like to start tapering this year – arguably, he says the Fed needs to taper so it has wiggle room in case of another nationwide COVID-19 wave. Isaac says that tapering which doesn’t start this year will not leave them any room for a rate hike. That’s going to put pressure on yields and by default, make equity market investors very happy. Well – happy that is until we see correction talk return to the markets. (Source: Ausbiz)
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