More Job Losses Are More Lives Saved

The mind boggling loss of jobs last month was not caused by an economy out over its skis in need of a correction, but is a measure of the country’s resolve to meaningfully damage the rapid spread of COVID-19. More job losses are more lives saved. Losing 20 million jobs in a month is a terrible hit to our economy. But the only lasting positive impact on our future economic well-being and financial markets is hope for a our physical well-being and safety from a deadly virus. Lockdowns provided the protection needed and have dramatically slowed the spread of the virus in even the most dense areas of the country such that stocks will actually rise in reaction to a nearly 8.0% unemployment rate. The jobs report marks a sobering moment in our history while also likely marks the bottom of the economic contraction with hope for a better remainder of the year.