The big macro can cause big moves in the market. What does today's headline macro news mean for your portfolio?
What's happening: Human resources and payroll specialist ADP
In plain English, please: U.S. employment has had a tough time recovering since the financial collapse and recession. That should be news to no one but the fellows from the Geico commercial who live under rocks. While 110,000 jobs added during October may not be enough to make a serious dent in the 9.1% unemployment rate, it at least shows a meaningful increase. Better still, it's above the 100,000 that economists were expecting ADP to report.
While ADP's release seems to be helping fuel the market's rally today, most investors tend to put their focus on the payroll numbers released by the government at week's end. Current expectations for that report are that total payrolls expanded by 85,000 in October.
Stocks to watch: Roughly 70% of the U.S. economy comes from consumption spending, and so when consumers don't have jobs, it's trouble for the economy. Of course, more specifically, it's trouble for a broad range of businesses that rely on consumers -- everything from auto giant Ford
Want to keep up to date on these stocks?
The Motley Fool owns shares of Ford Motor. Motley Fool newsletter services have recommended buying shares of Ford Motor and Automatic Data Processing. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors.
Fool contributor Matt Koppenheffer does not have a financial interest in any of the companies mentioned. You can check out what Matt is keeping an eye on by visiting his CAPS portfolio, or you can follow Matt on Twitter @KoppTheFool or Facebook. The Fool's disclosure policy prefers dividends over a sharp stick in the eye.