Trump leaks hint of good jobs report sends interest rates up


The Bureau of Labor Statistics is part of The U.S. Department of Labor, where the job numbers come from on the first Friday of every month. Protocol calls for them to be released at 8:30 am, only select officials have advanced notice of what they will say, this in order to avoid even the appearance of political or personal gain that could be had from releasing the information in advance.

But in the early morning hours of Friday, June 1, 2018, Treasury yields moved sharply higher within seconds of a tweet from President Trump that said he was “looking forward to seeing the employment numbers at 8:30 this morning.” He had never issued such a tweet before. Bloomberg data also showed that the value of the U.S. dollar moved sharply higher after the Twitter post compared with prior trades the mornings jobs data are released. That means traders were likely making investment decisions based on signals they took from the frame of Trump’s post.

When something like this happened when I was at DOL in 1970s during Nixon, people lost their jobs, no advanced leaks period to avoid one cabinet officer or another or even the President to beat the others to make public the findings and to influence stocks.

For full story of Trump tweet see https://wapo.st/2LeKnAC

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