10 Things You Need To Know Before The Opening Bell
REUTERS/Jason ReedU.S. President Barack Obama (2ndL) reaches out to help Affordable Care Act beneficiary Karmel Allison (C), who began to faint during the president's speech about healthcare from the Rose Garden of the White House in Washington October 21, 2013.Good morning. Here's what you need to know.
- Asian markets were relatively flat, with Japan's Nikkei up 0.13%; Hong Kong's Hang Seng down 0.52%; and Korea's KOSPI up 0.15%. European markets were also mixed, as were U.S. futures.
- This morning at 8:30 a.m. ET we'll get the September jobs report that was postponed during the government shutdown. Economists are expecting the U.S. to have added 180,000 to nonfarm payrolls. "Employment growth probably re-accelerated in September after the smaller than expected rise in August and downward revisions to the previous two months," wrote UBS' Drew Matus. "Labor markets appear to be improving."
- Wall Street's most bullish analyst? Brian Jones of SocGen, who is predicting 240,000. "We expect the Bureau of Labor Statistics' long-awaited update on the employment situation in September to reveal the strongest payroll gain since February and the lowest joblessness since November 2008," he wrote to clients.
- Mike O'Rourke of Jones Trading says that the real figure to watch will be the revisions. "The questions surrounding [today's] report is whether or not the next round of revisions will recover the lost ground in the August report and whether the July-August deceleration is a new trend," he wrote.
- Everyone loves guessing what the jobs number will be. If you're on Twitter, you definitely should give it a try. The site Financemonk.com is aggregating all of the tweets with the hashtag #NFPGuesses to track Twitter's live prediction. Right now the Twitter consensus is slightly more bearish than Wall Street, at 171,000.
- Bitcoin - everyone's favorite cryptocurrency - continued its big surge this morning, with prices blowing past $200 on Mt. Gox. After the abrupt closure of famed internet drug bazaar Silk Road, many expected the digital currency to collapse. That clearly hasn't been the case - at least not yet.
- A strange story emerged yesterday when it was revealed that Israeli Prime Minister Benjamin Netanyahu offered Larry Summer Israel's chief central banking job. Summers declined, and the situation actually mirrored what happened in the U.S. Like President Obama choosing Janet Yellen, Netenyahu went with Karnit Flug, the first woman to become Governor of the Bank of Israel.
- Netflix reported earnings after the closing bell yesterday, posting $1.11 billion in revenue and $0.52 EPS, a big beat. The stock surged in after hours trading. As our Sam Ro noted, the movie streaming company finished 2012 at $92. It reached $390 after-hours.
- President Obama acknowledged Monday that the Affordable Care Act's website rollout has been flawed. "There's no sugar-coating it," Obama said at an event in the White House's Rose Garden discussing Healthcare.gov's glitches. "The problem has been that the website that's supposed to make it easy to apply for and purchase the insurance is not working the way it should for everybody," he said. "Precisely because the product is good, I want the cash registers to work, I want the checkout lines to be smooth, so I want people to be able to get this great product. And there's no excuse for the problems. And these problems are getting fixed."
- Mining giant BHP Billiton has raised its iron ore production forecast for 2014 to 212 million tonnes thanks to operations in Western Australia, which achieved record output in July-September, Agence France Presse reports. BHP, the world's largest diversified miner, said that overall commodity production had spiked 11% year on year in the three months to September 30.