The S&P 500 shrugged off some disappointing but not unexpected economic news on Friday, gaining +3.3% (total return) for the week and pushing the widely followed stock index to a +20.9% YTD performance.  The nation's monthly jobs report provided the financial fireworks as our country's unemployment rate reached double-digits (10.2%), its highest level since April 1983.  There are 15.7 million unemployed Americans and another 9.3 million individuals working part-time while seeking full-time employment.  Just 2 years ago, our nation had 7.2 million unemployed workers and just 4.3 million people working part-time by necessity, not by choice.  36% of the nation's unemployed have been out of work for at least 27 weeks (source: Department of Labor).

The Fed completed its next-to-last scheduled meeting of 2009 on Wednesday, announcing that it "expects inflation to remain subdued for some time."  The government reported another 5 banks failed last week, bringing the year's total to 120, its highest calendar year figure since 1992 (source: Federal Reserve, FDIC).

The House of Representatives passed its version of health care reform on Saturday night with just 2 votes to spare.  The 220-215 passage of H.R. 3962 (named the "Affordable Health Care for America Act") garnered just 1 Republican vote while 39 Democrats voted against the bill.  Debate in the Senate on the issue may not begin until December (source: House, Senate).