The June Jobs report is out Thursday and most economists are expecting slowing growth. Brian Jacobsen, Chief Economist, Annex Wealth Management, joined TheStreet to explain why the employment figure could catch the market by surprise.

Related: The key jobs number that could force the Fed’s hand

Full Video Transcript Below:

CAROLINE WOODS: I want to get your expectations for the June jobs report, which comes out on Thursday.

BRIAN JACOBSEN: Yeah so I’m really excited that that’s coming out on Thursday. So that way we can get that put behind us for the long weekend. And I’m expecting that we’re going to see a little bit of the same as what we have been, which is continued softening up in terms of the headline payrolls number. So I’m expecting to see a net increase in payrolls of around 125,000. So maybe I’m being a little conservative compared to the consensus. The unemployment rate is one where the labor force has been shrinking a little bit. We know that some of the immigration crackdown has been affecting that. And just the domestic labor force pool hasn’t been growing quite as quickly as it has in years past. And so I think that unemployment rate, it’s a bit of a wild card. But we could actually see that just stay steady at around 4.2%. Overall my guess is it’s going to really paint this picture of the Fed being able to cut rates again, whether it’s July or September. I’m sure we can talk about that. But being able to, as opposed to being forced to cut because of labor market softness.