Gavekal Capital: The most interesting charts from today's (delayed) US Employment Report

Tuesday, October 22, 2013

The most interesting charts from today's (delayed) US Employment Report

Our favorite statistic to look at whenever the monthly employment reports rolls around is actually 3 statistics multiplied together. We take Payroll Employment x Average Weekly Hours x Average Hourly Earnings to come up with a "National Income Proxy". It's indicating 3Q GDP growth will remain within the range that it has been in since the recovery began.

The US Manufacturing Renaissance theme that is very popular is not yet showing up in the employment.

The participation rate was unchanged from the month before. That also means it continues to be at its lowest level since 1978.

One positive is the number of people who have been unemployed for the longest amount of time continues to decline.

State and Local Government's are hiring again. And based on tax revenues, this trend looks like it will continue.

About Gavekal Capital

Gavekal Capital is a US registered investment advisory firm that manages the Gavekal Knowledge Leaders Strategy. Knowledge Leaders are a group of the world’s leading innovators with deep reservoirs of intangible capital. These companies often possess competitive advantages such as strong brand, proprietary knowledge or a unique distribution mechanism. Knowledge Leaders are largely service-based and advanced manufacturing businesses, often operating globally. Gavekal Capital seeks to identify the world’s leading knowledge companies through a proprietary process that analyzes corporate knowledge investments.
We offer the Gavekal Knowledge Leaders Strategy in multiple products for global investors. For more information about our product offerings please visit http://www.gavekalcapital.com.
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