by Patti Domm
Wall Street hears the helicopter coming.
Stocks initially dipped after August’s painfully weak employment report showed job growth of just 96,000, but the market was flat as traders bet the number could help push the hand of the Federal Reserve towards a new round of quantitative easing.
Market pundits, within minutes of the 8:30 am ET report, unleashed a flurry of notes raising the odds of QE3.
Fed Chairman Ben Bernanke won the nickname “Helicopter Ben” after he referred to a statement by Nobel economist Milton Friedman about fighting deflation by using a helicopter drop of money. Now, traders expect to see a money drop, with a better chance it will come when the Fed meets next week.