Radio Rallies & Reversals - jobs, jobs, jobs

Despite a negative jobs report both in Canada and the US, North American stock indexes are presently in the green. In Canada 6,600 jobs were lost while the number south of the border was 95,000, keeping the unemployment rate above 9.5% for 14 straight months, the longest stretch since the 1930's. In Canada, the unemployment rate fell to 8% from 8.1% as frustrated persons dropped out of the job market. The silver lining is that higher paying full time jobs were actually up. With factories across Canada and the United States only operating at roughly 75% capacity, any recovery will be a jobless one.

Given the jobs situation on both sides of the pond, expect interest rates to remain low in Canada, the US and Europe. Generally this is bullish for stocks, but it looks like analyst earnings estimates are leveling off and even falling. The focus should then be on sustainable yield. If you're looking for ideas, give us a call at 250-868-5525 or visit yourlifeyourplan.ca.

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