Good Thursday morning. Heads up; the markets will close today at 1PM EST and will be closed all day tomorrow in observance of July 4th.

Breaking: the June jobs report is in and it’s bad news for the odds of a rate cut at this months Fed meeting. 147,000 jobs were created last month, topping estimates of 106,000 with the unemployment rate falling to 4.1%. Estimates had the unemployment rate jumping to 4.3%. Our read on this report is “so what”. We’ve never been in the camp that believed the jobs market was going to falter under Trump 2.0. Not with animal spirits coming roaring back and the innovation revolution picking up speed.

Once the DOGE job cuts are filtered out, we look for employment to build solidly throughout the rest of Trumps second term. What matters is that inflation is no longer a problem and with that fact, the Fed is at least 1% above where the Fed Funds rate should be (currently 4.33%). Literally the only thing holding back the US economy is high interest rates, ...