Markets have been showing true signs of re-risking the last few days. Treasuries finally broke out of their tight Covid range (0.60-0.80%), and the Dollar was moving lower (Aussie back to pre-Covid levels). It was the much better than expected ADP on Wednesday that finally pushed some off the sidelines, and the data proved prescient. Today’s NFP not only beat estimates, but surprised EVERYONE with a gain. Animal spirits are alive, and the S&P 500 moved back above 3200. Nasdaq is also just a couple points away from All Time Highs. All sectors are green, but Value is outperforming. And in the Small Caps joins the other global indexes above their 200 day moving averages. All point for the potential for further upside as momentum funds are forced to pivot.
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