The Investment Thread

Today's reaction to the job report may be the first time I've seen a rational reaction to the stock market in a really long time.

That same market is up double digit percentage points in the expectation that inflation would finally be slowing and unemployment creeping up bringing the expectation of rate cuts. That was the most irrational reaction I've seen. Yay, the economy is about to start struggling, buy, buy, buy.

Not sure what it means. I don't think the economy is in trouble outside of some heavy geopolitical risks. Given the election cycle, the R's are doing everything they can to get the economy to spoil, the D's will do everything they can to prop it up. So I'm guessing it just bring volatility and not much direction. The fed is in a really good position right now, if things go down faster than they want they have a ton of room to cut. Markets are still sitting near all time highs. Spending hasn't slowed enough to make much difference. Debt is a bit of a concern but it's Merica and a debt bomb is always a day away from exploding. Valuations are by far my biggest concern. The market has already priced in a soft landing, anything but could get rocky for a minute.

My cash is still paying 6%. Easy decision for me.