So what else is new? The Dow finished the week up +2%, the S&P 500 up almost 3%, the Nasdaq up +3% and the Russell 2000 also up +3%! Furthermore, this impressive market action is occurring in an anemic economy as evidenced by this mornings jobs report in where only 36,000 net jobs were added in January. That number was far less than 145,000 jobs that the pundits expected for the month.
The fact that the market did not continue to sell-off from the geopolitical turmoil in Egypt is one thing, but I don’t think anyone expected a green close today with such a soft employment number? Bottom line, you can’t ignore how strong corporate earnings have been, the power of the momentum in this market and the power of the Fed and the floor that they have put in.
Earnings will continue to come in next week and I will be very interested to see what Cisco Systems (NasdaqGS: CSCO) reports on Wednesday. I will be even more keen as to how John Chambers the CEO of the company sees the health of the economy from his vantage point, for the markets have historically payed close attention to his view. Good luck to all.
Have a great weekend 🙂