At 627,000 this morning’s initial jobless claims came in at the same level as last week (after last week was revised up 4,000) and 18,500 above the 4 week moving average.

There are 3 important points to be made on this:

1. Context – look at this 3 year chart below, and think about it in terms of what the masses thought was improbable – its horrifying!
2. The Level – on an absolute basis this is a flat out nasty level of jobless claims – nasty enough to break the buck, for at least today!
3. The Implication – the US stock market goes up when gold and cash lose their consensus bid – watch these macro signals closely…

Have a macro point of view that allows you to keep trading this market, aggressively. That’s one of the ways to beat it.

Keith R. McCullough
CEO / Chief Investment Officer