It’s a chart of the change in private payrolls, as shown below, and it shows that new jobs have been created in the private sector for eight months straight, delineating a clear improvement, albeit a small one relative to the damage wrought by the crisis.
According to Carpe Diem, where this chart is from, “This is the first time since December 2006 to July 2007, three years ago, of eight consecutive monthly gains in private-sector employment.”
We know Democrats will be pointing to this trend excessively going forward. It was this precise figure Obama emphasised today when he spoke post the jobs report, and it just looks and sounds good. At the same time, we have a hunch this data will be buried by the Republican side. The Drudge Report has devoted 7 headlines and an uber-title to jobs and the economy today, but completely failed to mention the trend above. (as of 1:25 PM ET)
Eight months of private payroll growth… either you’ll hear a lot about it going forward, or you’ll hear nothing, depending on who you speak to.
For investors however, even if you’re not a fan of the Democrats right now, this trend is worth noting as a positive development. There is indeed a small jobs recovery happening, even if weak and uneven, and that’s the key take-away from today’s report given all the double-dip fears (as in double-dip recession fears) markets have been bombarded with lately.