It's not the Data, but the Market's Reaction that Matters

Today the market awaits the monthly employment. The market's reaction to this report will be much more informative than the data in the report. Right now the bond market is predicting a recession and the stock market has been shaken, but not broken on fears that the bond market is correct. Since last Friday the market has received two important additions to current data that reveal the trend in the economy (not the market mind you) is rapidly in decline. Today's employment report will add more data to the mix. We will be taking the day off today, not adding any new trades. Today's market could be choppy and the close for the week will be a better measure to make decisions by than the potentially confusing first and second reactions to this morning's pre market report.