Markets closed slightly lower on Friday after jobs reports showed strong growth. The Labor Department announced that nonfarm payroll grew by 257,000. Over the last three months there has been an average of 336,000 job additions per month. Economist, Justin Wolfers, said, “This might just be the most perfect payrolls report ever.” There was also a large revision of November and December’s data to show an additional 147,000 more jobs than originally reported. The unemployment rate also increased to 5.7%. Mohamed El-Erian, chief economic adviser at Allianz, said, “The strong across-the-board employment report confirms the American economy’s ability to create jobs, draw more people into the labor market and, finally, improve prospects for wage growth.”
Shares of RadioShack Corporation (RSH) were skyrocketing up over 35% after the company lined up their bankruptcy filing. The failing electronics retailers announced that they would be filing for Chapter 11 bankruptcy and use a $285 million debt-in-possession to back it. They are currently $1.38 billion in debt. RadioShack has been in business for 94 years.
Shares of Anthem, Inc. (ANTM) were trading lower after the company began seeing lawsuits roll in after their large data breach announcement earlier this week. Anthem is the second-largest health insurance company in the U.S. The company reported on Monday that the cyber attackers got away with tens of millions of current and former customers personal information. The lawsuits state that the company did not take proper precautions to encrypt their customers’ personal information.
That’s all for today,
Warren Gates, Normandy Research