The Search for Meaning in Jobs Numbers

How other investors read the figures also matters.
Updated on

The search for work.

Photographer: Michael Nagle/Bloomberg

 Over the years, I have spilled far too many pixels on how overhyped the monthly nonfarm payroll report is. What matters isn't any single month, given how noisy and subject to future revisions the provisional release actually is. The recency effect makes you place a greater emphasis on what just occurred in a data series, a sign of the evolutionary leftover code hanging around your wetware.

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