May jobs report crushes recession fears, market expert says

The May jobs report came in stronger than expected crushing fears of an impending recession.

Transcript

00:00So the job numbers and what we make of this report is that we are nowhere near a recession.

00:06We're getting us hearing a lot of recession calls.

00:08And when you look at this job data, it just which is why the market's reacting the way

00:12that it is.

00:12I think it just continues to support that we are of a really resilient economy.

00:17And although the jobs number wasn't through the roof, it beat expectations.

00:21And just as importantly, it gives the Fed a little bit more ammunition to justify rate

00:27cuts, which would be bullish for markets as well, too.

00:30But one of the biggest things that has stood out to us is when we're looking at wage increases,

00:35this is, again, very bullish from an economic perspective because we know Americans love

00:38to spend money.

00:39And these wage increases at a time when the rate of change of inflation is actually slowing

00:45down as a net positive money in folks' pockets.

00:49And that money is going to filter into the economy.

00:51And I think we're going to see that over the coming quarter.

00:54We believe the economy is growing at a much faster pace than many people realize.

00:58What this report tells us about the state of the economy is we're not close to a recession.

01:03And I know that's not a consensus call.

01:05And the reason why we say that it is really hard to have a recession when you have unemployment

01:10rate with a four handle.

01:12And we don't see unemployment breaking down to a level that would concern everyone and get

01:18that recession trade on.

01:20We think the next 12 months from both an economic and stock market perspective are going to be

01:26extremely prosperous.

01:28And the capital markets are really smart.

01:31We believe this market has had this nice recovery and resiliency because it is sniffing

01:36out the forward-looking data that's going to come down the road.

01:40And so we think we're in a really good spot.

01:42I would really call this a Goldilocks market.

01:44Like anything, it's not going to go straight up.

01:47We're going to have hiccups along the way.

01:49We'll have bumps.

01:50But those dips, in our opinion, should be bought until the data changes.

01:54And right now, the data just continues to support that it's prudent to stay bullish.