Josh Brown: Job growth coming from small and mid-sized businesses
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Jeremy Hobson: The job placement firm Challenger, Gray
and Christmas said this morning that the number of planned layoffs at U.S. companies hit a four month low last month. And payroll processor ADP said private companies hired more than 100,000 people in October.
And that’s where we’ll start with Josh Brown of Fusion Analytics, who is with us live every Wednesday from New York. Good morning, Josh.
Josh Brown: Good morning, Jeremy.
Hobson: So what do these numbers I just mentioned tell you about hiring in this country, as we wait for the big October jobs report Friday from the government?
Brown: You know, there’s a little bit of correlation between ADP’s private payroll numbers and the actual government figure which will be released on Friday — but it’s not that tight of a correlation. So, I guess what the street is saying today is: we’ll take the good news where we can get it. And clearly, this is good — not great — news.
Hobson: Good, not great news. But it’s interesting to hear that because we’ve obviously got these ups and downs going on in Europe. How much are we being affected in our labor market here in the U.S. by what’s happening in Europe?
Brown: Yeah, at this stage of the game, I don’t think we’re being affected at all. I think if you look at what the numbers were saying, the positive development is that private companies are picking up the slack where the government is not hiring anymore, or even laying off.
What I found most interesting: medium-sized businesses added 53,000 workers, and small businesses hired 58,000 workers in October. And that’s a pretty positive sign — that’s where the job growth has to come from.
Hobson: Josh Brown of Fusion Analytics, thanks so much as always.
Brown: Thanks again.
Josh Brown is a New York City-based financial adviser at Fusion Analytics. He helps people invest and manage portfolios for them. Josh’s clients range from individuals to corporations to retirement plans to charitable foundations. He is also the author of The Reformed Broker, one of the top 10 financial blogs in the United States.
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