DETRIMENTAL DATA

February net job creation was a strong 275,000. However, January’s growth was dramatically revised down to 229,000 from 353,000, heaping more doubt on the quality of the monthly net employment numbers. Therefore, focus on the unemployment rate, which at 3.9% is the highest it’s been since 1/22, and up significantly from a low of 3.4% as recently as 4/23. This rise should get the Fed to cut rates in June.