(Image source: https://en.wikipedia.org/wiki/Mood_swing#/media/File:P_culture.svg)
So how does a positive jobs report lead to a drop in the stock market? People are thinking that the Fed may increase interest rates and this job report makes this more likely. Last week the market went up due to the idea that the Fed may delay the interest rate hike, but people are now believing there's a possibility that it's back on due to the positive jobs report. This shows that Mr. Market's mood swings can be extremely sudden and the same piece of ......Woke up to see the Dow down more than 1.5% last night. This doesn't seem out of the normal as it's been happening a few times in the past month. The reason seems perplexing though, the jobs data released in the US is positive with unemployment at a low since April 2008, back to the most recent recession.
