RtS, There you have it! Even Briefing.com has jumped on board.:)
<It doesn't get much better than this. Valuation is high, but not bad considering still low interest rates and likely strong earnings growth.>
I was just thinking this morning about how much difference a year makes. Last year about this time there was good news and bad news presented every day. The market didn't care - the NASDAQ went down like a rock until it hit bottom on 9 October.
This year we have good news and bad news presented every day. The market doesn't care - when the news is good the market goes up and when the news is bad, the market discounts the message and it goes up. An example below as reported by Briefing.com this morning.
<Other factors that contributed to the mid-morning recovery effort included the realization that a batch of economic data was further proof of the economy's turnaround... Initial claims for the week of August 9 rose 2K to 398K (consensus of 393K) and represented the 4th week of claims below the 400K mark,>
You see, you just have to put the right "spin" on it. Initial claims went up, BUT it was the 4th week of under 400K. Therefore, bad news becomes good news! Now if this was last year we would have had a 20 point drop in the NASDAQ on that piece of news, but this year the NASDAQ finishes almost 14 points higher for the day.
It's really very interesting to try to hear the "voices" ov the market - just another example as follows.
I subscribe to IBD and have for many years. They are really pushing the "good news" the past few months. There isn't anything that goes on that they don't like. Just as an example, here are a few snippets from their "Big Picture" column of Wednesday's IBD.
<Stocks rallied broadly Tuesday as the Fed tiptoed successfully between deflation, growth and interest rates.>
<... the Fed's policy statement contained just the right portions of optimism and caution.>
<In plain English, that's Alan Greenspan's virtual guarantee no rate hikes are on the horizon>
<Wall Street liked the Fed's take>
<Trading volume increased as the afternoon rally persisted, just how you'd like to see the market act.>
Leading stocks are finding support at their 50-day lines, a favorite place for mutual funds and other institutional investors to step in and buy.>
This kind of analysis has been going on for several months.
The message is: Now is the time to BUY!
IBD is not the only example as you know. By the way, does anyone reading this have a "take" on the Wall Street Journal's attitude?
Anyway RtS, I think I'll just jump into the market with both feet and become rich - after all, there doesn't seem to be anything to be concerned about - everything is "hunky dory" or "peachy keen" - you know what I mean - Uncle Al is taking care of us and with the Fed's unimpeachable guidance everything is going to be all right.
I'm convinced, aren't you?:)
Don |
