The jobs report came in this morning well under analyst estimates with 160 thousand jobs, down from last month's 208k. The markets opened lower, but recovered to post gains for the day.

SPX gained $7 to close at $2057, while RUT closed up $7 at $1115. Even more encouraging for the bulls was a drop in volatility with the VIX closing at 14.7%, down 1.2 points. SPX dipped down to touch support at $2040, but then bounced to close seventeen points higher. SPX also closed  above the 50 dma at $2045, which often acts as support. Some analysts interpreted the market's strength in light of the weak jobs report as traders presuming that the Fed will delay raising interest rates as a result of the weak employment numbers.

Trading volume was flat to weak with 2.2 billion shares of the S&P 500 trading, well below the 50 dma at 2.4B. Trading volume fell 2% on the NYSE, but rose 2% on NASDAQ.

I conclude that the stalemate between the bulls and the bears is likely to continue.

Have a great weekend. If you are going to the Money Show in Las Vegas next week, let me know so we can get together.