Friends
The headline in Barron’s magazine this weekend was Dow 15,000. The article referred to Wharton School of Finance professor Jeremy Siegel’s call for the Dow to likely see this level by the end of next year. Siegel also referred to a 50/50 chance of the Dow hitting 17,000 in that same time frame. I’ll take it. Now, let me mention here that Professor Siegel has been bullish… um…..forever. Never mind, that he has been wrong more often than not in the past dozen years or so, but who’s counting? As I told you last week, never let the facts get in the way of a feel good story.
Now, can the Dow get to 15,000 in a couple of years? Sure it can. On a percentage basis, that is not far-fetched at all. But as we are well aware, predictions are, for want of a better word, useless. Let’s just try to get to the end of this week first.
Anyway, Greece has an austerity deal, I think. At least for the moment, until the heat gets turned up politically in the streets of Athens. We’ve learned not to get too high or too low on the prospects of a solution in Greece, or in the rest of Europe for that matter. We’ll see how long this deal holds, but in the meantime traders decided that stocks should regain what they lost on Friday.
For the day, the Dow Jones Industrial Average was up 72 points to close at 12,873. The S&P 500 was up 9 points to close just above that elusive 1350 level, ending the day at 1351. Gold was mainly flat closing at $1725 and oil was up $1.95 to get back over $100 to close at $100.62 per barrel WTI.
We get a lot of economic news this week including the PPI and CPI numbers on Thursday and Friday. Let’s see what the domestic economy looks like by the end of the week. With the bulk of earnings reports now behind us, we can focus in on the domestic economic numbers for the next few weeks. We’ll keep you up to date.
Have a nice evening everyone.
