Major averages bounced higher on lower volume yesterday, as the action remains somewhat normal within the context of the massive capitulation sell-off of two Mondays ago. In economic news, data showed solid private-sector job gains in August and a jump in productivity growth in the second quarter. The Federal Reserve’s Beige Book said several district banks “reported increasing wage pressures caused by labor market tightening”, a change from earlier reports. But there were also indications that the strong dollar and the drop in oil prices were depressing activity, which could argue for holding off on raising interest rates when the Federal Reserve meets September 16-17.
China's markets are closed both today and tomorrow, while the U.S. markets look forward to the Bureau of Labor Statistics' monthly jobs number, which could have an impact on where indexes go from here. In the meantime the indexes remain in a six-day rally attempt off of last Monday's lows.
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