Despite the overall jobless rate jumping to 9.6% in August, financial exchange traded funds (ETFs) rose higher in early trading.
The numbers were enough to encourage people to exit safe-haven investments and move over into riskier assets. Non-farm payrolls fell less than expected and the private sector showed job growth, and the markets will apparently take it. Treasuries edged lower following the news. SPDR Barclays Capital Long-Term Treasury (NYSEArca: TLO) is down nearly 1% so far today. In the last six months, it’s up 11.7%. [The Top 5 ETFs of August.]
The jobs report was a negative for the U.S. dollar as investors sold it off and moved into safer currencies such as Canadian and Australian dollars, seen as being more closely tied to international growth. CurrencyShares Canadian Dollar (NYSEArca: FXC) is up nearly 1%; in the last year, it’s up 4.3%. [Travel the World With Currency ETFs.]
Read the disclaimer; Tom Lydon is a board member of Rydex|SGI.
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Mr. Lydon serves as an independent trustee of certain mutual funds and ETFs that are managed by Guggenheim Investments; however, any opinions or forecasts expressed herein are solely those of Mr. Lydon and not those of Guggenheim Funds, Guggenheim Investments, Guggenheim Specialized Products, LLC or any of their affiliates. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.