6/2/2009

You Are Not Alone

From Jack McHugh via The Big Picture:

To the list of firsts previously set during the 2007-2009 bear stock market, we can now add the Chapter 11 filing of a current Dow component, the steepest 2-10 year yield curve in history, and the largest monthly gain for commodities prices in a quarter century. In response to these tidings, the S&P 500 is now at a 7 month high, some 41% off its March low. Since many institutional investors have been caught underexposed to their benchmarks, and since the S&P looks like it has broken out of its May trading range to the upside, it is quite within the realm of possibility that the S&P makes a run at 1000 — a level fully 50% above its March nadir. If you are having trouble making sense of the current environment, you are not alone.

Posted: 7:45 am

2 Comments »

  1. Credit card stocks looking weak today. They might be finally getting ready to tip over. However, using todays logic I suppose they will rally another 20%?

    Comment by Randal — 6/2/2009 @ 11:41 am

  2. No point in trying to use any logic at all. It rarely, if ever, works where the market is concerned.

    Comment by BMB — 6/2/2009 @ 12:19 pm

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