Market Pauses Ahead of Tomorrow's Jobs Report

The market is roughly flat in early trading, after another nice day of gains yesterday. There is not a lot in the way of market moving news this morning. And tomorrow we will get the big monthly jobs report, which is expected to show employment gains of roughly 200k. In economic news, the Chicago PMI came in at 70.6, which is stronger than expected. In corporate news, Mosaic (MOS) posted an upside surprise, and the ag group is all rallying. Agrium (AGU) is currently trading back above its 50-day average. Berkshire Hathaway (BRK.B) suffered a bit of a setback today with the resignation of David Sokol, who many had thought might be a successor to Warren Buffet. Commodities are rallying again, with oil prices back to $105.70, and gold prices up near $1438. Asian markets were higher overnight; the 10-year yield is flattish near 3.45%; and the VIX is up a tad to 17.76. Trading comment: If the S&P 500 finishes near these levels, it will be up about 5% for the first quarter of this year. That would market the best Q1 performance since 1998. Not bad. More stocks were added to the list of breakouts yesterday, as the market seems to be regaining its footing. I would continue to buy the dips, as I think the market will work its way back to new highs before the summer. We will have to see if the 'sell in May, and go away' axiom is in play this year. long AGU