Hey there, folks. The jobs data just came out. Let’s thumb through it.
The unemployment rate improved slightly, although at 3.5%, this is pretty much as low as it gets. We’re back into the mode where the tiny wiggles month to month don’t matter.
The jobs added was a little under expectations.
Most importantly, the hourly earnings came in a tiny bit hotter than expected.
I am typing these words only five minutes after the announcement, so it’s sort of silly for me to even talk about the reaction. Anyway, the /ES shot up to +11 or so, but it’s fading fast. Oh, umm, actually now everything’s red. The chart below and these words are already outdated. The point of the chart below, however, was that the beat-down the bulls took this week seems pretty much 100% intact.
I’m coming into the day fully loaded with 8 equity-based put positions (all expiring next year) and my monster-huge XLU short position (September puts, 100% intrinsic value). This week has been truly transformative, I believe, for the market. Here’s some upbeat music to greet this promising-looking day.
