Market Hitting New Highs On Solid Jobs Report

The market is rallying again in early trading, with some indexes hitting new highs for the year. Some of the buying could be first day of the month and quarter new money coming in, but the action is solid nonetheless. While the S&P 500 and the Nasdaq are still below their Feb. highs, the Dow, the S&P mid-cap index, and the Russell 2000 small-cap indexes have all surged to new highs for the year. So I would expect the S&P 500 and Nasdaq to play catch-up. This morning's jobs report was pretty solid. The economy added 216,000 jobs in March, which is better than the 185k economists were looking for. The unemployment rate fell slightly to 8.8%. If the economy can keep adding 200k+ jobs each month, this recovery should remain on solid ground and improve consumer sentiment. In corporate news, the ICE and Nasdaq (NDQ) have announced their rival bid for the NYSE (NYX) of about $11.3 billion. That is roughly a 19% premium to the offer made by Deutsche Boerse. Asian markets were mostly higher overnight, except for Japan. China's manufacturing PMI came in at 53.4, which is higher than last months 52.2. But more and more stories are surfacing about China's inflation problems. Oil prices are higher near $107, while gold prices are down today, back to $1422. The 10-year yield is higher to 3.48%; and the VIX is falling -7% back to 16.50. Trading comment: The indexes are moving higher, and the list of stocks breaking out continues to grow. Here are some more names to add to the list:

• MELI, ISRG, TIBX, WYNN, VRX, CMG, DE, CTSH, LSTR, TSCO, BIDU, SRCL, etc.

Earnings season will start soon, and I expect earnings to be good for the most part. But if stocks keep rallying into earnings reports, we could see some sell on the news reactions. But let's not get ahead of ourselves. Right now, the action is very positive. long MELI, ISRG, VRX, DE, CTSH, LSTR, SRCL