Goldman Forecasts Lower Nonfarm Payroll Numbers, But Is Bad Really Good For Stocks

Goldman Sachs is forecasting a rather mundane 210,000 gain Friday in nonfarm payrolls, somewhat lower than the consensus 226,000 but well within what yield curve traders are calling the “yawn zone.”

Arguments for and against a weaker nonfarm payroll number

The Goldman report notes that business surveys, such as the ISM services report, the New York business leader’s survey, Chicago PMI and Dallas Fed manufacturing survey, are pointing lower.  Mining sector job losses, which have been exacerbated by lower oil prices, are likely to continue, the report observed. The often used excuse for weak economic numbers, weather, might be a factor.