Friends
As we pointed out last week, we haven’t had a down Tuesday in a long time. Today marks the 17th straight Tuesday of stock market gains. Yes, Monday’s have been somewhat sloppy most of the year, though recently they have gotten better, but Tuesday’s have been setting the tone for this 6 month advance. It pretty much is indicative of this market’s feel. Many have called this the most hated stock market advance ever. Why? Well, so many people were burned back in 2008 and 2009, and those folks just don’t believe in equities anymore. They just don’t think that this move is for real, and they can certainly point to global economies and say “look things are not good around the world”. Yet, the market continues to advance confounding skeptics (some say realists), fueled by easy money provided by Central Banks around the world. So we come in on Monday saying that this must be the week when it all collapses, then by Tuesday the underinvested buyers step in and bid the market up. And thus the rally continues.
As for today, we crossed the 15,000 level on the Dow Jones Industrial Average for the first time ever. The Dow was up 87 points to close at 15,056. The S&P was up 8 points to finish the day at 1625. Gold was down $17 to trade at $1450 per ounce, while oil was down $.65 to trade at $95.51 per barrel WTI.
We are coming into a quiet part of the earnings and news cycle, so unless there is some new unexpected type of event, traders will be left to their own devices. The bears are very frustrated right now, believing that they are the realist and everyone else it nuts. Has this market made most of them capitulate yet. We shall see.
Have a nice evening everyone.
