It was another solid session with rising investor confidence reflected in big rotation out of Utilities, Real Estate and Consumer Staples.  Investors are also making a more serious effort to find value. Hence, the move in financials, which have been something of a puzzle.  Even with low rates, the sector simply hasn’t lived up to the hype.

I am thrilled Industrials led the way, which corroborates an assortment of data suggesting rapid improvement in the industrial economy.  Moreover, Consumer Discretionary is my de factor best measure for confidence and sentiment.

Key Breakouts

• XLE 38.26
• XLF 24.46
• XLI 74.14
• XLB 62.59

Better Jobs Data

Initial jobless claims declined to 1,186,000 down 249,000 and well below the consensus of 1.42 million, and the lowest level since the pandemic began.  The grand total of folks that have filed from the March 21 report climbs to 55.32 million, but this is great news overall.

Initial Jobless Claims

Continuing Jobless Claims declined to 16,107,000 down 844,000!

Continuing Jobless Claims

Pandemic Unemployment Assistance swooned to 655,707 from 908,800.  Forty-five states saw declines, while the rest saw de minimis increases.

Portfolio Approach

We added a stock in Healthcare yesterday and our current Cash position is 1 or 5% in our Hotline Model Portfolio.

Today’s Session

The futures have turned positive on the jobless claims report.