Last Friday’s jobs report was exactly what the markets needed: evidence that the Fed is unlikely to raise rates this year.  With job creation slowing, there’s little reason to believe that wage growth is going to take off anytime soon.  And so with little threat of inflation, rates can stay low for a while longer.

If remains to be seen whether this two-day rally will hold.  Our defensive posture is still intact for now.  More commentary later this week..