The jobs report this morning caused the S&P 500 to hit new highs of the year, a few points short of its all time high set in May 2015. It is tempting to pretend like all is well, and just buy stocks, and hope for the best. Yet, perhaps the best way to protect your nest egg is to take a closer look with a critical eye.
I heard a few unconfirmed things today from traders regarding that report:
- June was revised down from 38k jobs to 11k jobs
- A large portion of the new jobs were people 55+
Note that gold and bonds soared today (my two favorite investments of the year). #1 on the selling into strength list for most of today was SPY (S&P 500 ETF), with the IWD (Russel 2000) at #4. This is post-brexit profit taking which is common when they believe the market is reaching another top.
ZeroHedge has an interesting critique of the jobs report that soared the markets today:
Selling into strength:
