Hot economy is a good time for investors to take risks: Market expert
- Author Name : IMR
- Publish Date : June 3, 2018
The economy is on fire and market watcher Katie Nixon told CNBC that investors should take note.
“The jobs report was just an affirmation that the economy continues to grow very well,” Nixon, who is an executive vice president and chief investment officer for the wealth management business at Northern Trust, said Friday on “Power Lunch.”
The jobs report was better than expected with a whopping 223,000 nonfarm jobs added to the U.S. economy in May. Analysts had expected 188,000. Unemployment hit an 18-year low of 3.8 percent, according to the Bureau of Labor Statistics.
In anticipation of the release, President Donald Trump tweeted Friday morning that he was “Looking forward to seeing the employment numbers” in the report.
“The jobs report was just an affirmation that the economy continues to grow very well,” says Katie Nixon of Northern Trust.
In addition to May’s better-than-expected jobs report, other signs of a growing economy include an unemployment rate at an 18-year low.
The stock market also rallied Friday in response to the jobs report.
The stock market gained in response, recovering losses from its previous session. The Dow Jones industrial average rallied more than 200 points. The S&P 500 and tech-heavy Nasdaq composite also rose.
Still, many investors have been on edge in recent weeks over trade concerns, North Korea and possible Federal Reserve interest rate hikes.
Nixon said trade worries aren’t “off the table just yet,” but pointed out that fundamentals in the economy remain strong.
“We wouldn’t read too much into some of the trade concerns that are certainly in the air and rightfully so,” she said.
But added, “We’re still really positive on taking-risk here for investors.