Dow closed above 13,000 today. So what? Is the recovery over? Yes – in some places for now. Housing seems to be recovering and the market is just reflecting an improvement in consumer confidence. Consumers are more confident but it may be just everyone jawboning each other that things are better or is it really better? Time will tell. Europe still needs to recover, China needs to land softly. Oh – and we need to avoid war in the Middle East.
Will the economy stay on course? I am bullish it will. Business today needs to move forward. Credit needs to remain available. The election needs to come and go and we need certainty in what the rules of the game are. As consumers and business people get more comfortable with the operating conditions in the market, confidence and then the market itself will approve.