Our conversations this past week revealed client’s sense of bifurcation. On the one hand, Friday’s payroll report and strong ISM non-manufacturing index validate the strong U.S. thesis (first chart below, terrifically strong period for private sector job growth). However, weak data out of Europe, Japan and China continue to give clients headaches. Ultimately, most agree a strong U.S. is considerably more important than a weak [insert some other economy] but as we enter earnings season, the overseas weakness is one of two areas we’re on the lookout for in terms of disrupting the reporting season (the other is of course the strong dollar).