U.S. stocks overvalued, Yellen says
At a conference in Washington yesterday, accompanied by IMF Managing Director Christine Lagarde and Massachusetts Senator Elizabeth Warren, Fed Chair Janet Yellen warned participants of a probable rise in market volatility when the Fed begins to raise rates.
According to yesterday’s ADP Employment Change numbers, U.S. companies brought on the lowest number of workers in April of the past 12 months. April could even be worse than the previous month, which was a major disappointment and partially responsible of the drop in the USD in recent weeks.
Official job data from the Bureau of Labor Statistics will be released tomorrow at 8:30 a.m. Analysts expect growth of 230,000 jobs compared to the disappointing month of March, which saw a gain of only 126,000. In contrast, job growth expectations north of the 49th parallel are relatively low, with pundits calling for a net loss of -5,000 positions in April compared to net growth of 28,700 in March.
Today, we’ll be keeping an eye on Initial Jobless Claims south of the border and Building Permits closer to home.
