Two Days in a Row....

The market today seems poised for another rally. I think Wall Street and the rest of us want to see a nice Christmas rally. A Christmas rally will be good for everyone. It will put more money in everyone’s pockets and give my retirement account a nice boost. The futures are all pointing up this morning but things could come to an end this morning at 10:00am when the government will report on October factory orders. The rally looks to be spurred on this morning from home builder Toll Brothers who this morning said that it appeared the housing slump in the US has bottomed out.

The big day will be this Friday when the government releases the unemployment report. Economists are expecting the unemployment rate to edge up to 4.5% from 4.4%. In this case a slight increase would be good for the markets because it will mean that the economy is not growing at a frantic pace. That kind of unemployment gets Wall Street worried that there will be wage inflation. After all if people are earning more then there’s talk about wage inflation. An we know what happens when that talk starts….