‘Jobs’ Better Than Expected

Jobs’ came in at 248,000 vs. estimates of 220,000 and unemployment rate to 5.9%.  Clicking the graphic yields the MarketWatch article.

The stock market is dutifully rising to test some breakdowns, as we noted to be likely in an update for subscribers yesterday.  A key to what the market does at those test levels will be in how the market interprets the data’s effect on policy making which, as we well know, has been causal and supportive of the bull market every step of the way.

Theoretically, in a normal market we have reached escape velocity, where the economy’s fundamentals alone can carry the day.  Notice I wrote ‘normal’.  Is this a normal market?

The Fed is looking mighty suspect holding ZIRP for going on 6 years now.  Then again, as long as there are no signs of inflation they have an implied free license to keep on keepin’ on.  Interesting, to say the least.