Look through the bad headline and the statistical distortions -- this was a strong report.

With Kevin Warsh's departure, the Fed loses is best-respected voice for tightening.

The systemic risk from Libya points to Europe and to gold.

You'd think we'd already be there, but stocks and gold are clearly saying we're not.

Paradox -- the unemployment rate falls, yet Fed tightening expectations recede.

Europe is a basket case, and the US is growing. The ECB is raising rates, the Fed isn't.

The Fed continues to successfully remove itself as a source of uncertainty.

Once the bad news is out, Japanese stocks will stabilize -- and the US correction will be short and shallow.

...in the forest and no one was there to hear it, would it still make a noise?

A solid, if not spectacular, jobs report. The economy is firmly in second gear.