Market Recap: Private Payroll Gains, Fed Holds Rates, Jobless Rate Climbs

  • Home
  • Market Recaps
  • Market Recap: Private Payroll Gains, Fed Holds Rates, Jobless Rate Climbs
May 6 image

Market Recap: Private Payroll Gains, Fed Holds Rates, Jobless Rate Climbs

SPY
S&P 500

Last Week: 0.24%
YTD: 7.91%
1 Year: 25.72%

DIA

Dow Jones Industrial Average

Last Week: 0.77%
YTD: 3.15%
1 Year: 17.09%

ONEQ
NASDAQ

Last Week: 1.22%
YTD: 7.65%
1 Year: 33.57% 

Russell 2000

Last Week: 0.97%
YTD: 0.85%
1 Year: 17.33% 

Large Growth

YTD: 9.53%
1 Year: 35.20% 

Large Value

YTD: 5.32%
1 Year: 16.56%

Private Payroll

Private employers added 192,000 new workers in April. This was better than the 183,000 analysts had estimated for the month. It was less than the 208,000 added in March, but the step back was to be expected. Another report showed job openings continue to fall to their lowest levels since early 2021. On a positive note for inflation, wages only increased 5% from a year ago, a multiyear low. The largest sector for new jobs added was in leisure and hospitality. 

The Fed Meeting

The most recent news from the Federal Reserve meeting gave little new insight into rate cuts this year. Overall economists feel only time will tell how many rate cuts we will see in 2024. Most of the analysts are now predicting one to two cuts. Chairman Powell indicated they had not seen enough progress yet regarding inflation to be able to start cutting rates. The uncertainty left markets flat after the press conference last week. 

Unemployment and Nonfarm Payroll

The US economy added fewer jobs than anticipated. Nonfarm payrolls increased by 175,000 last month, well below the 240,000 estimated by the Dow Jones consensus. The unemployment rate increased to 3.9%, above the 3.8% expected.  The job news sent the major US stock markets upward, in hopes this news will increase the likelihood of an interest rate cut this summer. A softer labor market and a soft wage increase may indicate the Fed will be able to start cutting rates sooner. The jobless rate is tied for the highest level since January 2022.

  • Alex Wolfe

    Alex is a Certified Financial Planner™. He brings nearly a decade of experience working with individuals, families, and business owners. Prior to working for Base Wealth Management, Alex worked for Fidelity Investments and an independent wealth management firm in Venice, FL. Through many years of practice, he specializes in helping clients navigate their financial goals through comprehensive financial planning. He received his bachelor’s degree in economics from Texas A&M University.

    View all posts

Schedule a Consultation

"*" indicates required fields

This field is for validation purposes and should be left unchanged.

SUBSCRIBE TO OUR YOUTUBE CHANNEL!

Click here to go to our YouTube channel and subscribe for weekly financial updates and more! We’d love your help to in getting to 500 subscribers!

Register for our Open House event!

2022 Tax Document Information

As a Base Wealth Management client, you should receive your paper tax documents via mail in the coming weeks. Or, if you previously had an online account with Pershing’s NetX360, you should be able to access your 2022 tax documents through that portal. 

If not, or if you experience any issues, please reach out to Tim O’Brien (tim.obrien@intervestintl.com).

Get a FREE Solo 401(K) Guide

Simply submit your name and email to receive a PDF straight to your inbox.

"*" indicates required fields

Name*
This field is for validation purposes and should be left unchanged.
 *We protect your data and HATE spam.
 

Get a FREE Roth 457 Guide!

Simply submit your name and email to receive a PDF straight to your inbox.

"*" indicates required fields

Name*
This field is for validation purposes and should be left unchanged.
 *We protect your data and HATE spam.
 

Get a FREE Roth 401(K) Guide

Simply submit your name and email to receive a PDF straight to your inbox.

"*" indicates required fields

Name*
This field is for validation purposes and should be left unchanged.
 *We protect your data and HATE spam.
 

Get a FREE Solo 401(K) 2-Pager for FireFighters

Simply submit your name and email to receive a PDF straight to your inbox.

"*" indicates required fields

Name*
This field is for validation purposes and should be left unchanged.
 *We protect your data and HATE spam.
 

Get a FREE copy of Divorce the IRS

If you would like to request a physical copy of Divorce the IRS, please fill out the form below.

"*" indicates required fields

Name*
Address*
This field is for validation purposes and should be left unchanged.
 *This book is most suitable for households with $250K or more in investable assets.
 

OOPS!

You’ve stumbled across an element that isn’t quite ready for the web yet. We’re working on a lot of new features so stay tuned.

-The Base Wealth Team

Choose your advisor

Dan DiLascia

Sean Koscho

Kyle
Howell

Josh
Pisa