U.S. stocks are falling on Friday following a surprisingly strong October jobs report. The U.S. added 271,000 jobs in October, well ahead of consensus estimates of 180,000. The S&P 500 traded down slightly following the report, but bank stocks reacted positively to the news.

Too Good For The Market

While a strong jobs number in the 200,000 range is a very positive sign for the health of the U.S. economy, the timing and circumstances surroundding this report are unique.

Many economists and traders see the strong job number as an indicator that the Federal Reserve will go ahead and begin its long-awaited interest rate tightening cycle in December, and the stock market will no longer be propped up by historically low interest rates.

Banks Stand To Benefit

While the S&P 500 declined modestly following the report, shares of the “Big 4” U.S. banks, Bank of American Corp BAC 1.13%, Citigroup Inc C 0.47%, JPMorgan Chase & Co. JPM 0.53% and Wells Fargo & Co WFC 0.85% have surged…

Click here to continue reading

Want to learn more about how to profit off the stock market? Or maybe you just want to be able to look sophisticated in front of your coworkers when they ask you what you are reading on your Kindle, and you’d prefer to tell them “Oh, I’m just reading a book about stock market analysis,” rather than the usual “Oh, I’m just looking at pics of my ex-girlfriend on Facebook.” For these reasons and more, check out my book, Beating Wall Street with Common Sense. I don’t have a degree in finance; I have a degree in neuroscience. You don’t have to predict what stocks will do if you can predict what traders will do and be one step ahead of them. I made a 400% return in the stock market over five years using only basic principles of psychology and common sense. Beating Wall Street with Common Sense is now available on Amazon, and tradingcommonsense.com is always available on your local internet!