The markets daily quest for something, anything, to be happy about is almost a gaurantee of higher stock prices...for the rest of this year.
It's sort of like Google hitting to $400...everyone knows it will...
But everyone also knows it's a nutty price to pay for that stock. But, the markets aren't really rational in the short term...and they have their own "internal logic" which is totally disconnected from reality most of the time.
One thing that the market insists on is that: THE RETAIL SUCKERS NEVER GET A BREAK!
With the end of the year approaching, many people will be reviewing their 401ks and bonuses...with an eye to "investing" them...
Sometimes that means buying stocks...and of course the market masters are happy to oblige.
Hence, the reliable "run up" in prices whenever it is thought on the Street that the "Retail Suckers will be Flocking."
It is possible that with some very selective news filtering...and with timely brokerage "upgrades," and a little CEO double-speak...assisted by plenty of "creative accounting" ---the markets could rally "to show" a gain on the Dow and other major indexes "for the year."
Of course, if that fiction works out...there is always the "January Effect."
This is a market that has had more than it's share of "reality" this year...
The quagmire war, the twin decificts, the Fed (which now promises to be more market sensitive, "just like Greenspan was") and a punk consumer struggling with high, now "non-dischargeable," debt, and a really poor job, wage growth situation, and the Bush "approval numbers"...etc.
But no matter...this is a market that wants the Economics of Happy Face...and it's going to get it...just as long as no one panics and "gets too real" about things going forward...
So, Spin is In for the rest of 2005!
DOW 11,500 BY DECEMBER 31! ENJOY!
Postscript: A good time to lighten up...if "they'll" let you?
