Briefly, 160 thousand new jobs were created last month, with the unemployment rate remaining at 5%.  Economists were expecting 200 thousand new jobs.

But, what does that raw data mean?  It means there has probably been some slowdown in expected GDP growth but nothing worrisome yet.  Republicans spin it as proof of failing Democratic policies.  Democrats spin it by saying unemployment is getting so low that it is increasingly difficult to create 200 thousand jobs each month.  I see both arguments as irrelevant, maybe bordering on stupid!  We need 80-90 thousand new jobs per month to absorb new people coming into the workforce.  Anything above that is gravy!  One report means nothing to economists.

But, why is all this important?  Those dinosaurs, known as “long-term thinkers” (anything longer than 90 days), fret that the trend line for new jobs may be changing its gradient or slowing down.  Short-term thinkers, otherwise known as CEO’s and most investors, will celebrate this report, because it means the Fed will not raise interest rates next month.  This report means investors have another month to live in needless fear of the Fed.