Earnings season is upon us (more on that below), and the market indices are once again at a vital juncture. Thursday's session was all negative all the time as the jobs number proved disappointing. The market continues to defy gravity, but now may be an important inflection point. Do the bulls have the muscle and the power to keep this rally moving or will the bears taken center stage and push the markets lower?
The market is still showing a high level of complacency, and this will eventually have to change. The VIX is at levels not seen since before the Lehman disaster, so is risk to be tolerated now? I wonder about many of the "surprises" that can/will pop up out of nowhere.
Remember, we're in unprecedented times now. How is the situation here in California going to affect bondholders? Supply continues to be an issue for the Treasury. Will foreigners continue to buy our bonds in earnest? Geopolitical issues are concerning, too. The market seems to be resisting pricing in these and many other unknowns, which for me is rather dangerous.