Skip to comments.Even Super-Bull Jeff Saut Thinks This Rally Is Getting 'Unnatural'
Posted on 02/27/2012 7:08:48 AM PST by blam
Even Super-Bull Jeff Saut Thinks This Rally Is Getting 'Unnatural'
Febuary 27, 2012
Raymond James' Jeff Saut has been pretty constantly bullish since mid-2009, and he's still pretty optimistic.
But even he's having trouble fathoming the strength of this market.
In his weekly note, he writes:
The call for this week: There have now been 37 trading sessions in 2012 and so far the S&P 500 has yet to experience a 1% Downside Day. This 37-session, or more, skein has occurred 11 other times in the past 84 years and has on every occasion except one seen the equity markets higher by the end of the year. Still, the rise since the "buying stampede" ended, which stopped on January 26, 2012 at Dow 12841.95, has felt unnatural to me.
Surprisingly, the Industrials reside only 141 points above their intraday high of January 26th causing one market maven to exclaim, "no wonder I feel like we're in the Trading Twilight Zone." Maybe there will be a resolution to that "unnatural feeling" this week when we experience Leap Day (February 29th).
For more along this theme, see Tobias Levkovich, another bull, who thinks this rally might run out of gas.
(Ahem, Joe being cute)
(Excerpt) Read more at businessinsider.com ...
Market down 57.49 as I type at 10:10AM EST
The Great Depression II will begin the day that investors and businessmen realize that Obama is going to have a second, unfettered term of office. Save every penny you can now, in case that catastrophic event occurs.
Buy a year’s worth of non-perishable food now,just in case.
good point. The recent rally could be due to investors hoping Obama’ll be gone next year.
Rerun: A house of cards built from smoke and mirrors.
Buncha folks gonna get hurt real bad.
Remember; a few hundred points move in the DJIA represents more money being added or removed from the economy than all of Obama's stimulus. So the 3000 point move since last October is a lot of the reason that Obama can claim things are getting better. But it is all smoke and mirrors. If the bottom drops out of the speculation it will pull all the liquidity out of the economy. Things will get real bad, real fast.
They have to fix all the Democrat retirement plans before the market drops.
“Behind the mainstream Wall Street happy talk about more stable financial markets and an improving economy are grim warnings of tough times ahead from a small cadre of doomsayers who warn that the worst of the financial crisis is still to come.”
Rally? What rally?
I’m of the opinion a significant portion of this is due to the lower value of a dollar.
I think they are pushing the markets too soon for Obama’s re-election. They should have waited for the “fix” to the market until the GOP candidate was chosen/selected. Of course maybe they are pushing the fix now because if thwey didn’t there would hhave been no way to push a fix if they waited?
It will interestign to see how the markets react to whomever is picked for the GOP nomination.
But here is why the stock market is booming:
$7 trillion in liquidity injected into the markets by global central banks over the past four years. Print. Then print some more.
—Save every penny you can now, in case that catastrophic event occurs.—
And I recommend saving it in junk silver...