Good Tuesday AM,

Markets are quietish. Push and pull as expected on thin volume. Stocks clobbered yesterday, much better today, at the cost of bonds and rates. These moves are minimal in the overall picture for bonds. I think a little more meaningful for stocks, especially in light of Omicron which is now predicted to impact Q4 GDP substantially.

I will leave you with the White House message on Omicron. No joke, but funny doomsday messages are somehow humorous in their own right. I don’t expect that this winter will be deadlier but then again, my last name is not Fauci.

“I want to send a direct message to the American people: Due to the steps we’ve taken, omicron has not yet spread as fast as it would have otherwise done,” Biden said.

“But it’s here now, and it’s spreading, and it’s going to increase … We are looking at a winter of severe illness and death for the unvaccinated – for themselves, their families and the hospitals they’ll soon overwhelm,” he added. “But there’s good news: If you’re vaccinated, and you have your booster shot, you’re protected from severe illness and death.”

Zients repeated the warning the following day while giving an update from the COVID response team.
“We are intent on not letting omicron disrupt work and school for the vaccinated. You’ve done the right thing, and we will get through this,” he said. “For the unvaccinated, you’re looking at a winter of severe illness and death for yourselves, your families and the hospitals you may soon overwhelm.”

Please remain safe and healthy, happy holidays, make today great!