I refuse to even discuss the jobs report this morning because it was so ridiculous. 500,000 people disappeared from the workforce which lowered the unemployment rate down to 9.4%.
Where in the hell did these people go? Mars? How did the unemployment rate drop this much when we only created 103,000 jobs? This just wreaks of total desperation. Let the clowns in Washington report whatever stats they want. I will wait for revisions.
In case you are curious as to why the market is starting to roll over look no further than this:
"NEW YORK (Reuters) - Wells Fargo & Co and US Bancorp lost a ruling by Massachusetts' top court on Friday that found the banks failed to show they held the mortgages at the time they foreclosed on two homes.
The ruling could cause other foreclosure sales to be invalidated, especially where lenders may not have all of the underlying documentation.
It may also be significant in the realm of securitization, where mortgages are packaged into securities to be sold to investors.
In midday trading, Wells Fargo shares were down $1.03 or 3.2 percent at $31.12, while U.S. Bancorp shares were down 1.3 percent at $25.95.
The KBW Bank Index, which includes both lenders, was down 1.7 percent."
This was a Supreme Court ruling which means it can go no further folks. All along I figured it would be one of the extremely liberal states that blew foreclosuregate wide open.
This will have a rippling effect but the severity of it is unknown. This ruling potentially has the ability to unravel the banks as their MBS holdings become worthless. It also opens them up to lawsuits from the pension holders and anyone else that bought these worthless securities.
However, as we have seen before, you can never underestimate what the scumbag banks are able to get done in DC so I will withhold judgment on the fallout of this ruling.
The bank stocks rolled over on the news and the rest of the market then followed. The Illinois news and the weak jobs report didn't help things either.
Hold on tight folks. Things are going to get a whole lot more interesting.