Massive Job Growth Sends Shockwaves

Hello everyone! We’ve officially hit the fourth quarter. Forget waiting for New Year’s resolutions—now’s the time to get a jump on preparing for 2025, ahead of the crowd. The next 90 days are crucial to setting yourself up for success.

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Read time: ~4 minutes

Rates ended HIGHER compared to last week, and volatility was HIGH. Rates are in the mid 6’s for most loan types without paying discount points. Paying discount points can get you in the high 5’s/low 6’s.

Massive Job Growth Sends Shockwaves

The latest jobs report is in, and it was a major surprise. The U.S. economy added 254,000 new jobs, smashing the expected 147,000.

The unemployment rate also dipped to 4.1%, down from 4.2%.

On the surface, this report paints a very different picture than what we’ve seen over the past few months and feels out of sync with the recent moves from the Fed. The labor market is red hot 🔥🔥🔥🔥

Food services, restaurants, and healthcare led the way with the biggest gains.

July and August job numbers were also revised higher by 72,000 jobs.

On the flip side, mortgage rates reacted negatively to the news. The average 30-year fixed rate mortgage now sits in the mid-6% range, a notable jump from the 6.1% we saw back in September.

Why the increase?

The odds of a 50bps rate cut in November have dropped significantly, from 50% a week ago to just 3% now. While the market still expects the Fed to cut rates, it’s likely going to be slower than anticipated due to these stronger jobs numbers.

Meanwhile, the S&P 500 closed above 5,750, up over 21% for the year.

The U.S. economy continues to show its strength.

Dodged a Bullet, But Inflation Is Still Rising

We got lucky with the short-lived port strike on the East Coast, but it could have been much worse.

If the strike had dragged on, we were looking at major supply chain issues, higher prices on everyday goods, job losses, and a ripple effect that could’ve made it hard for many homeowners to pay their bills.

Even though it was brief, shelves at places like Costco were cleared out of essentials like toilet paper early in the week. My wife was one of the many people who stocked up, thinking we might be in for a much longer strike.

But inflation is making its presence felt in a bigger way.

I came across a TikTok video that blew me away. A Walmart shopper recreated the same 45-item shopping cart they bought in 2022. Back then, the total was $126. Fast forward to September 2024, and that same cart totaled a staggering $414.

@cc_plus_

What's going on with the ridiculous prices of groceries now? How could they quadruple in the span of 2 years? The inflation is way out of ... See more

This shows just how quickly inflation can hit home and affect the average consumer’s day-to-day life.

Are YOU the ONE?

I spoke with an agent this week who was feeling down.

He’s been doing all the right things—tons of marketing, hosting awesome events, staying active on social media—but the leads just aren’t flowing in.

He’s definitely not alone in this.

It’s a recurring theme in my conversations with agents lately.

So, what can be done?

One of the most valuable skills you can learn is how to start conversations with people in your circle that lead to referrals down the line.

I’ve prepared a script to help you kick-start those discussions. Try it 5 times a week, and you will see your income grow exponentially.

Two Ways My Team & I Can Help

1. Lets collaborate- Schedule a zoom meeting

2. Tough Deal? Let us know if we can help