Posted on 02/27/2013 3:41:49 PM PST by blam
DOW HITS NEW BULL-MARKET HIGH: Here's What You Need To Know
Sam Ro
February 27, 2013, 4:00 PM
Wow! What a huge day for stocks.
First the scoreboard:
Dow: 14,075, +175.2 pts, +1.2 percent
S&P 500: 1,515, +19.0 pts, +1.2 percent
NASDAQ: 3,162, +32.6 pts, +1.0 percent
And now the top stories:
* The Dow closed at a new post-crisis, bull-market high. The S&P 500 got close. Both indices are near their all-time highs. The Dow closed at its all-time high of 14,164 on October 9, 2007. The S&P closed at its all-time high of 1,565 that same day.
* The big catalyst for the market rally was arguably the January durable goods report. Aggregate orders actually fell by 5.2 percent, which was worse than the 4.8 percent decline expected. However, this number tends to be very volatile due to orders for defense goods and aircraft, which both fell dramatically.
* When you strip all of the noisy items away from the report, you get a line item called nondefense orders excluding aircraft. This is also known as core capex, and it's known to be a good barometer of business investment activity. Well, core capex surged 6.3 percent. Economists were looking for 0 percent growth. Apparently, all of the uncertainty coming out of Washington didn't stop America from buying big ticket items.
* Last fall, economist David Rosenberg argued that core capex is a good recession indicator when you look at the year-over-year change in its three-month moving average. After falling into recession territory for months, the measure turned positive today.
(Excerpt) Read more at businessinsider.com ...
The TV general media is all sequestration all the time.
What IF, the market actually looks on this favorably...meaning that at least some spending cuts are coming? What IF, they have more confidence that we may not see another credit downgrade? What if???
I don’t know who to believe anymore...
The corrupt Obama regime continues to cook the books. The fundamentals of the economy are very weak thanks to burdensome regulations imposed by the Kenyan Muslim Marxist and minions. The current regime has given Big Labor the green light to run roughshod over free enterprise, crippling business profitability. And, of course, the impact of Obamacare has set the economy on a collision course. These numbers are merely a false “feel good” story contrived by the current _resident and his sycophants. The reality is far different and very bleak.
“Freight Shipment Volumes Plunge To Lowest In Two Years”
http://www.zerohedge.com/news/2013-02-19/freight-shipment-volumes-plunge-lowest-two-years
I don't either but I do remember when in the 90s and people were looking at tech companies that were in debt up to their eyeballs and as a result their earnings were nil that the gurus told us all that traditional measures like earnings weren't good for these new types of business, we had to look at earnings before INTEREST and taxes (EBIT) instead. Then the numbers are great! Now you can see why these tech stocks are underpriced at these levels (they said).
Well that didn't pan out in the long run. Making up new metrics which you can use when all the old ones scream "TROUBLE" generally doesn't. So I am skepticle now that everyone has jumped on this one to justify their buyting spree. Time will tell.
We have an extremely sick economy. If wasn't that way, the FED would be winding down their extraordinary salvage operation...
We have an extremely sick economy. If wasn't that way, the FED would be winding down their extraordinary salvage operation...
Maybe someday I’ll get back all the money I lost.
I believe and am gambling some on it's not who to believe, but what.
You can believe in the fact that Obama and his minions are going to do everything in their considerable power to keep the market up for as long as they themselves are in power.
I wouldn't give a penny on the dollar for what will happen when (if) he leaves office... but I believe while he's there, the market will trade sideways for the duration - up and bit, down a bit.
I don’t. It isn’t even an “industrial” average anymore...
But NASDAQ and the S&P 500 (much broader than the Dow) are showing results very similar to the Dow.
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