Now the markets will see just how big the hole is in the side of the overall economy and whether the stimulus and relief packages will be enough to steady if not raise all boats. Bill Gross of Pimco, while not bullish on overall economic outlook, is on the other hand explaining the merits of investing in Freddie and Fannie as better than anything else on the risk side. Of course Pimco has a substantial position in the two and any spin Gross can add cannot hurt.
Hedge funds it appears may have had their worst month in five years according to Bloomberg. This is the result of deteriorating large bank positions and catch the falling knife purchases made when apparent bargains were appearing earlier this year.
Unemployment week is here along with several other bits of data so the market may flail about while trying to build a base for the balance of the year.
