Thursday, February 2, 2012

US Economic data outlook report february 3 2012

US Economic data outlook report february 3 2012 : one of the main indicators of U.S. economic conditions measuring job creation and unemployment, Fri., Feb. 3, 8:30 am, ET. Humming along with manufacturing, the U.S. services sector is forecast to continue to expand with an ISM non-manufacturing index reading of 53.5 in January from 52.6 in the previous month.

Despite of the Q4 2011 improvement in U.S. economic data, a dovish Fed last week made a commitment to extend its accomodative monetary policy for another couple of years and has hinted that QE3 is ready to be deployed if economic conditions deteriorate or if the EU debt crisis takes a turn for the worse.

This is why it will be important for the U.S. economy to continue to demonstrate resilience in order to reduce the odds of the Fed "doing more" (which are the new code words for QE3). Otherwise, more quantitative easing at the expense of the U.S. dollar would be only a matter of time. With that in mind, the Non-Farm Payrolls report could raise a red flag with the economy adding lesser amount of about 100,000 jobs in January from 200,000 in December, while the unemployment rate stays unchanged at 8.5%.

The median forecast of 46 economists in a Bloomberg News survey projected 371,000. A report tomorrow may show that employment grew by 145,000 after rising by 200,000 in December, according to the median forecast of economists surveyed by Bloomberg News. The jobless rate may have held at an almost three-year low of 8.5 percent. For the latest updates on the stock market, visit Stock Market Today

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