Everyone Now Knows

Employment not deficits is the primary issue.  The weekend news and opinion pages have the facts in spades.  My favorite two articles are:

http://www.nytimes.com/2011/09/04/opinion/sunday/jobs-will-follow-a-strengthening-of-the-middle-class.html

http://blogs.reuters.com/chrystia-freeland/2011/09/02/will-belief-trump-facts/

For those who don’t read the facts and embrace them, there appears still to be the gold trade.  We will see how well that works in a deflationary environment. 

The S&P 500 overnight pushed down to the the lower levels of the trading range we have outlined for the next six months.  It didn’t take long to drop down from the swingpoint at 1235.