Our Favourite Stock Market Indicator In The World Is Working Perfectly Once Again

This is a chart that we haven’t run in a little while, but it’s still fantastic.

It shows initial jobless claims (in red, flipped upside down) vs. the S&P 500 (in blue).

Yesterday, initial jobless claims fell to their best level since the crisis ended. And the stock market hit an all-time high.

Anytime someone says the market is just being juiced by the Fed, showing them this relationship as evidence that what really matters is the real economy. It keeps getting better, and the market is following along.

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