Uh, Oh...

I'm not worried a wit about the market's boo-boo today. My shorts on ITB and Countrywide hedged me just fine. Actually up $1.09. Nor do the dismal retail numbers worry me. However, I can't help taking a second look at this juicy quote I got from the Winter Watch.

Merrill’s David Rosenberg: “A point to note: fulltime jobs, the key generator of personal income growth, plunged by 687,000 in April. That was the largest slide since the economy was knee-deep in recession in August 2001. Such a decline has
only occurred three times in the history of the Household Survey going back to
1968.”
Posted on 10-May-07 at 11:34 am

678,000 is a lot. Also, "barely junk" bond spreads have blown out from Libor +1.4% to +2%, a 40% increase in spread. Not to mention, buyout rumors are more prevalent than the real thing now. It's safer to short the pop than bet on a LBO. Hmmm... maybe my idea of a stock market run is running out of steam already. But where else will liquidity go? Into the market or... Pop?... just don't know.