Once again, investors have cheered bad news about the U.S economy with the premise that the data will force the FED hand to lowering its rates, maybe even 0.5% this month if the non-farm payrolls number were to be in line with the ADP scenario, which was way worse than predicted.
With lower rates comes lower yields and the hunt for higher fixed income among the safe heaven stocks, like utilities, real state or consumer staples. A technical demand that sent those sectors to the best gains of the day, but then again on just 4.5 billion transactions.
Photo by Tim Evans.
