Good Monday AM,

Are you past the Turkey hangover? I know I am not. It is a rough day to get started.

Markets were open at least part of the day on Friday. When we left Wednesday, all expectations were for Friday to be slow and grinding. It could not have been more of the opposite. Stocks tanked (I mean tanked) and bonds rallied on light holiday volume and strong emotions based on the fear created by the announcement of the newest Covid variant. Today we have given back some of those gains as the market is beginning to realize that this new variant may well be the least harmful that we have seen. This is great news, if true because the newest variant can overtake the Delta variant and as it spreads we harmlessly gain immunity. At least, this is the current version by many. In any event, the stock market is not panicking any longer which in turn pressures bonds. That said, keep in mind that this is a huge news week with almost every day bringing us releases that can move the market with Friday bringing the biggest of all, the jobs report.  If you are investing and do think the economy is growing today is an opportunity to “buy the dip”?

I came across this recession curve and thought it was worth sharing. I am not ringing any bells yet, but we are not headed in the right direction, that I can tell you.

Please remain safe and healthy, make today great.