Market Week in Review

June U.S. jobs report: Sigh of relief

This week, Investment Strategist Paul Eitelman discusses the strong U.S. jobs report, coming in above expectations with 287,000 new jobs created in June. While the strong number was a good sign, he recommends investors focus on the three-month average of job growth which his currently coming in around 150,000 – a healthy pace and still enough to reduce the unemployment rate gradually over time. With the strength from the latest U.S. jobs report, a December rate hike by the U.S. Federal Reserve remains a possibility.

Additionally he discusses ongoing post-Brexit volatility. The U.K. saw its first real negative impact in terms of consumer and producer confidence this week, while outside of the U.K., the rest of Europe and U.S. are still chugging along. He also notes another important factor for investors to keep their eye on— record-low government bond yields.

To wrap up, Eitelman touches on Russell Investments’ Global Market Outlook mid-year update released earlier this week, noting “the new mediocre” global investing environment due to sluggish global GDP growth, emerging markets headwinds and a lackluster corporate earnings environment. Communications Manager Alexandra Davis hosts.

Be sure to vote in this week’s Twitter poll @Russell_Invest, asking: Following the June U.S. jobs report, when do you think the Fed will raise interest rates next?

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