Unemployment rate, participation rate and jobs for September. Enough for investors to get the markets moving.

Stocks fell again yesterday as traders become impatient ahead of today’s jobs report for September. On Wall Street, anxiety grows amongst investors over the chances that the Federal Reserve’s aggressive actions to raise interest rates this year, will cross the line and push economy into a recession. 

A tight labour market and unemployment rates near ‘multi-decade lows’ have forced the Fed to continue its hawkish actions, even as evidence shows that the economy is cooling off. Especially in the housing market and on Main Street, where layoffs are on the rise.

Jobless claims for the prior week came out to be slightly higher than projected, but not seen as strong enough evidence for the Fed to take its foot off the gas. Fed members have announced this week that the central bank plans to keep going until it deems the job ‘complete’. The Federal Reserve has already signalled in the previous month that it is heading towards a further increase of 125bp this year (investing.com).

Nevertheless, here are the events that could affect the markets tomorrow:

Unemployment rate

• The unemployment rate is due to be out at 13:30 GMT (8:30 US). Experts are forecasting the results to remain the same as the prior month of 3.7% (investing.com). This is a vital target for the Fed, cooling off the economy without sparking major job losses.

Participation rate

• The labour market participation rate is another measure that the Federal Reserve monitors closely. The reading for August was 62.4% and officials would like to see this number increase in order to ease the tension in the labour market (investing.com). August’s reading remains the highest since April.

Jobs for September

• The jobs report is also due to be released at 13:30 GMT (8:30 US). Experts are expecting that the economy added 250,000 jobs last month, which would be a decline from 315,000 added in August (investing.com).