Three weeks after the election expectations are rising at an explosive rate. The market is up, the dollar is up, and everyone seems to be expecting the Trump victory to make the economy blossom, Obamacare to disappear, the borders to close, the swamp to be drained, and the world to be blessed with peace and prosperity for all.
Caution: The problems facing the newly elected president are enormous. They are not easily solved. The Donald is showing every indication that he has been severely under rated and he seems to be doing things right. But it’s going to take time.
Get Ready for the Trump Jobs Rally
NFIB survey finds surge in hiring plans.
From The Wall Street Journal: By JAMES FREEMAN, Dec. 1, 2016
Stock markets have been surging since Election Day as investors look forward to lower taxes and less regulation under President-elect Donald Trump. A new survey due out later today suggests that small business owners have also become more optimistic since November 8th.
The National Federation of Independent Business monthly employment survey for November will show that owners of small firms are preparing for a better future. “A seasonally adjusted net 15 percent plan to create new jobs, up 5 points from October and the strongest reading in the recovery,” NFIB Chief EconomistWilliam Dunkelberg tells us. “Not seasonally adjusted, 17 percent plan to increase employment at their firm (up 3 points), and 9 percent plan reductions (down 1 point),” he adds.
This doesn’t necessarily mean we’ll see a big job surge when the Labor Department reports on November employment across the economy tomorrow morning. Mr. Dunkelberg says that among the small businesses in the NFIB survey, “Reported job creation remained weak in November with the seasonally adjusted average employment change per firm posting a gain of 0.02 workers per firm”—just barely positive. He expects that the official government unemployment rate could fall slightly for November.
It is the signal on future hiring from NFIB that is most encouraging. The owners of public corporations and the owners of small private firms are now both expecting faster growth under Trumponomics.
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