EB Daily Market Report - Friday, August 7, 2026

Dear Members:

The market continues to show that no news is bad news with all of the major indexes higher after a much weaker than expected jobs report.

The bulls will say the weak jobs report will keep the Fed at bay - i.e., no interest rate increases. The bears will say the softening in employment shows cracks in the economy. So far the bulls are getting the benefit of the doubt.

We're also seeing a lower $VIX today. In fact, the $VIX is at its lowest level since January of this year; traders don't seem too worried.

The bulk of key earnings reports are now out of the way and overall they've been quite good. The jobs report is out of the way. There won't be another Fed meeting until mid September. Peace in the Middle East remains tenuous. The bears keep looking for reasons to short the market but they're not having much luck.

Short of some out of the blue development we have to give the edge to the bulls. The new target to clear on the S&P is 7793. If we were to see any selling the first level of key price support is 7629. 

Tom will be back with his Weekly Market Report on Monday.

At your service,

John Hopkins