PIMCO's Co-CIO and CEO Mohamed El-Erian was on Bloomberg to discuss US jobs numbers released today and shares his views on the economy in light of the jobs report. He refers to today's reported add to US Jobs as "Solid, but Not Great."
SUMMARY:
-- There were 155,000 jobs added in December. Unemployment rate is marginally worse at 7.8%.
-- The numbers are solid but not great, and shows that economy is making progress.
-- Purchasing power of US consumers now up 4.1% year over year, so that is great news.
-- However, a lot more progress needs to be made.
-- The unemployment number is very important in the sense that the Fed has pegged its policy to the unemployment report.
-- It will be interesting in the next few months to see how the Fed reacts to this number in terms of policy, because right now there is a lot of confusion related to the Fed's policy.
Credit and Source: Bloomberg
Here is the video:
SUMMARY:
-- There were 155,000 jobs added in December. Unemployment rate is marginally worse at 7.8%.
-- The numbers are solid but not great, and shows that economy is making progress.
-- Purchasing power of US consumers now up 4.1% year over year, so that is great news.
-- However, a lot more progress needs to be made.
-- The unemployment number is very important in the sense that the Fed has pegged its policy to the unemployment report.
-- It will be interesting in the next few months to see how the Fed reacts to this number in terms of policy, because right now there is a lot of confusion related to the Fed's policy.
Credit and Source: Bloomberg
Here is the video:
