We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
4 Sector ETFs & Stocks to Bet on December Jobs Data
Read MoreHide Full Article
The U.S. economy added 216,000 jobs in December, higher than the 170,000 expected by economists. The unemployment rate was unchanged at 3.7%, better than the expectation of 3.8%. Employment Rate in the United States decreased to 60.10% in December from 60.40% in November of 2023. Average hourly earnings rose 0.4% on the month and were up 4.1% from a year ago, both higher than the respective estimates for 0.3% and 3.9%.
The hiring boost mainly originated from a gain of 52,000 in government jobs and another 38,000 in health care-related fields such as ambulatory health-care services and hospitals. Below, we have highlighted some of the sectors that will likely see smooth trading in the days ahead in light of the December jobs data.
Sectors in Focus
Healthcare
Employment in the healthcare industry increased by 38,000 in jobs, Employment continued to inch up in ambulatory health care services (+19,000) and hospitals (+15,000). Job growth in health care averaged 55,000 per month in 2023, compared with the 2022 average monthly gain of 46,000.
Health Care Select Sector SPDR ETF (XLV - Free Report) can be played to tap the moderate momentum. Community Health Systems (CYH - Free Report) , which has a Zacks Rank #2 (Buy) deserves a mention. It is a leading operator of general acute care hospitals and outpatient facilities in communities across the United States.
Construction
In December, employment in construction (+17,000) marked a notable gain. Employment in nonresidential building construction increased by 8,000. Construction added an average of 16,000 jobs per month in 2023, little different than the 2022 average monthly gain of 22,000.
Investors can keep a watch on the price movement of Invesco Dynamic Building & Construction ETF (PKB - Free Report) . As far as the stock is concerned, Zacks Rank #3 (Hold) Dycom Industries (DY - Free Report) can be played. It is a leading provider of specialty contracting services throughout the United States.
Transportation
In December, employment in transportation (+23,000) also increased. Couriers and messengers lost 32,000 jobs, while air transportation added 4,000 jobs. Since reaching a peak in October 2022, employment in transportation and warehousing has fallen by 100,000.
Investors can keep a watch on the price movement of Zacks Rank #2 (Buy) SPDR S&P Transportation ETF (XTN - Free Report) . As far as the stock is concerned, Zacks Rank #3 (Hold) United Airlines (UAL - Free Report) can be tapped.
Leisure
Employment in leisure and hospitality rose by 40,000. The industry added an average of 39,000 jobs per month in 2023, less than half the average gain of 88,000 jobs per month in 2022. Employment in the industry is below its pre-pandemic February 2020 level by 163,000, or 1.0%.
The data makes AdvisorShares Restaurant ETF (EATZ - Free Report) a timely investment. The Zacks Rank #2 (Buy) Brinker International (EAT - Free Report) owns, operates, develops and franchises various restaurants under Chili’s Grill & Bar (Chili’s) and Maggiano’s Little Italy (Maggiano’s) brands. The company took over Chili’s, Inc., a Texas corporation from September 1983 and completed the acquisition of Maggiano’s in August 1995.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
4 Sector ETFs & Stocks to Bet on December Jobs Data
The U.S. economy added 216,000 jobs in December, higher than the 170,000 expected by economists. The unemployment rate was unchanged at 3.7%, better than the expectation of 3.8%. Employment Rate in the United States decreased to 60.10% in December from 60.40% in November of 2023. Average hourly earnings rose 0.4% on the month and were up 4.1% from a year ago, both higher than the respective estimates for 0.3% and 3.9%.
The hiring boost mainly originated from a gain of 52,000 in government jobs and another 38,000 in health care-related fields such as ambulatory health-care services and hospitals. Below, we have highlighted some of the sectors that will likely see smooth trading in the days ahead in light of the December jobs data.
Sectors in Focus
Healthcare
Employment in the healthcare industry increased by 38,000 in jobs, Employment continued to inch up in ambulatory health care services (+19,000) and hospitals (+15,000). Job growth in health care averaged 55,000 per month in 2023, compared with the 2022 average monthly gain of 46,000.
Health Care Select Sector SPDR ETF (XLV - Free Report) can be played to tap the moderate momentum. Community Health Systems (CYH - Free Report) , which has a Zacks Rank #2 (Buy) deserves a mention. It is a leading operator of general acute care hospitals and outpatient facilities in communities across the United States.
Construction
In December, employment in construction (+17,000) marked a notable gain. Employment in nonresidential building construction increased by 8,000. Construction added an average of 16,000 jobs per month in 2023, little different than the 2022 average monthly gain of 22,000.
Investors can keep a watch on the price movement of Invesco Dynamic Building & Construction ETF (PKB - Free Report) . As far as the stock is concerned, Zacks Rank #3 (Hold) Dycom Industries (DY - Free Report) can be played. It is a leading provider of specialty contracting services throughout the United States.
Transportation
In December, employment in transportation (+23,000) also increased. Couriers and messengers lost 32,000 jobs, while air transportation added 4,000 jobs. Since reaching a peak in October 2022, employment in transportation and warehousing has fallen by 100,000.
Investors can keep a watch on the price movement of Zacks Rank #2 (Buy) SPDR S&P Transportation ETF (XTN - Free Report) . As far as the stock is concerned, Zacks Rank #3 (Hold) United Airlines (UAL - Free Report) can be tapped.
Leisure
Employment in leisure and hospitality rose by 40,000. The industry added an average of 39,000 jobs per month in 2023, less than half the average gain of 88,000 jobs per month in 2022. Employment in the industry is below its pre-pandemic February 2020 level by 163,000, or 1.0%.
The data makes AdvisorShares Restaurant ETF (EATZ - Free Report) a timely investment. The Zacks Rank #2 (Buy) Brinker International (EAT - Free Report) owns, operates, develops and franchises various restaurants under Chili’s Grill & Bar (Chili’s) and Maggiano’s Little Italy (Maggiano’s) brands. The company took over Chili’s, Inc., a Texas corporation from September 1983 and completed the acquisition of Maggiano’s in August 1995.