What Fun

Today’s world market crowd reaction to the Mar NFP print is telling.  Under normal conditions, since observers know Fed policy up front (because it is rule-based) they can set up accordingly given real sector results. Just as there is a rule of law in this country governing personal conduct, there was, until it was just recently surrendered, a rule of law governing US monetary policy. But now observers must first guess the reaction of a handful of central planners to a key release and next guess just which sectors these planners will decide to favor this time.  Too much.

Marx, Engels and Bakunin would be greatly cheered.

Robert Craven