ZIRP Dependence

You can't eat
You can't sleep
There's no doubt
You're in deep
--Robert Palmer

When yesterday's dismal job numbers were first released yesterday morning, futures immediately tumbled more than one percent. That surprised me because it seemed obvious that poor job numbers would once again imply that the Fed would be inclined to keep their zero interest rate policy (ZIRP).

Didn't take long for traders to figure that out, as the initial dip was bought and markets ground higher all day, closing with gains of 1%+.

Another demonstration of market dependence on ZIRP.

position in SPX