Click HERE to view a PDF of the Economic and Financial Commentary provided by Wells Fargo for the week of October 8, 2012
Unexpected Drop in Unemployment Rate
-The labor market appears to be on stronger footing as payrolls rose by 114,000 jobs in September and revisions to previous months’ data added a cumulative total of 86,000 jobs in July and August. The unemployment rate dropped to 7.8 percent, the lowest level since January 2009.
-Although, factory orders fell 5.2 percent in August, the outlook for the manufacturing sector is a bit more encouraging based on new orders in September.
-The ISM manufacturing index rebounded in September and now sits above the demarcation line for expansion at 51.5. The new orders component increased to 52.3.