JPMorgan: Non-farm data must be "just right" for the stock market not to fall

ChainCatcher news, JPMorgan stated that the U.S. non-farm payroll data to be released later on Friday must be just right, neither too hot nor too cold, for the U.S. stock market to continue rising.

The trading department led by Andrew Taylor indicated that if the number of new jobs is below 150,000, the stock market will decline, while if the number exceeds 230,000, it will also put pressure on the stock market, as this would increase bets on the Federal Reserve having to raise interest rates.

They noted that in a pessimistic scenario, "the risk is that the cooling of the job market happens faster than expected, which would drag down spending." They predict that a figure as low as 110,000 would cause the S&P 500 index to drop by 1.5%, as it suggests that concerns surrounding global trade are impacting the U.S. economy at a faster pace than anticipated.