BOB LANG: Good morning, Action Alerts Plus subscribers. It's November 4, 2022, time for The Rundown. We've finally made it to jobs Friday. Let's talk about that for a few moments here. So strong job growth again in October, 266,000 new jobs created this month. And we actually had a revision upwards from September. So while wages ticked higher again, which is not a good thing for what the Fed is watching-- more inflation indicated here as the rate moved up to an annualized reading of 4.7%.

Manufacturing jobs surprised on the upside, 32,000 jobs created last month, which was double of the expectations for the month of October. Overall, this report reinforces the Fed's need to keep hiking interest rates as the strong job market, while needed, is jumping higher in the face of higher inflation.

Now, going back to the markets here, we're seeing a little bit of a rally here today, a little over 1%, maybe 1 and 1/2 percent across the board, NASDAQ a little bit less than that. But the S&P 500 and the Dow Industrials are leading the way. But yesterday and this week, we saw a breakdown from tepid support built over the last week, week and a half.

Markets are down sharply for the week still, even with this nice rally today. We could be down anywhere from 3 and 1/2 to 4% on the week on the S&P 500. Interestingly though, VIX has barely moved till today. It's moved a little bit today. 

Now, let's understand the reasons why. When uncertainty is removed-- and of course, this jobs report was some uncertainty before 8:30 this morning, Eastern Time. Once that is removed, we remove a lot of the volatility from the markets because that uncertainty is now a known quantity, whether it was good or bad.

Now, of course, going into this morning's report and into the opening, there was a nice bid in the markets overnight. So it really didn't matter much for today whether the jobs report was a positive or a negative, whether it was going to be inflationary or noninflationary. There was a nice strong bid in the market. And I think the markets were going to move up regardless of what that report had to say. 

Volatility futures are elevated across the curve though. And simply put, that trend of the market is still down. Big money investors are riding that market and the volatility down slowly. And as we move closer to the year end, we're likely to see more selling occur, with some stock-- some loss selling and so forth, tax loss selling, clearing out of positions before the new year. It's just a normal part of the process.

 So yesterday we trimmed a little bit of AMN. And we added some of those proceeds to Verizon. Let's talk about AMN for a moment. Trimming in AMN-- trimming of that was more of a prudent move on our part. It was a large position in the portfolio as of the close yesterday. So we were just taking a little bit of profits off the table before they reported their earnings last night.

 Now, talking about earnings there, they were strong. They were good. Nothing bad in the report. They did guide a little bit higher into the future as well too. It's the strong report for the quarter that really has lighted up-- lit up the stock over the past couple of weeks, as we see AMN reaching up near all-time highs.

It's been up over 18%. So we just thought it was a good move to take a little bit of money off the table. And as we have been demonstrating over the past couple of months, we won't hesitate to take some money off the table in a bear market.

 We also heard this morning from CBOE, Chicago Board of Options Exchange, which actually was a stellar report, lights-out, I think. It was just amazing across the board. Not only did they beat on the top line and the bottom line of the estimates, they also raised guidance for the year ahead, increasing organic growth to 14% to 16%, which is the mainstream lifeblood of the company from a prior reading of 9% to 11%.

 So CBOE has been known for hitting it out of the park. Every single month, their metrics tend to break records. Chris talks about it all the time. We are far from a-- not far from the all-time high in this name. So it would not surprise us to see the stock move up and beyond the $130, $135 level in the next couple of months. So keep an eye on CBOE. It's rated number one for Action Alerts Plus.

 So that's going to be it, everyone. Have a great weekend. And we'll see you back on Monday.