Has the market's "melt-up" levitation finally ended? Of course, it could be much worse: as Bloomberg's Paul Jarvis recalls, thirty years ago on this day traders around the globe were staring at their screens in disbelief as stock markets turned to a sea of red: the Dow, S&P 500, FTSE, DAX and CAC fell -23%, -20%, -10%, -9% and -10% respectively.
Don't fight The Fed or The Machines...
The Dow is now the 2nd most overbought in 22 years... 3rd most overbought in 62 years
Authored by Kevin Muir via The Macro Tourist blog,
The New “Winners of the New World”
Do you remember Jim Cramer’s February 29th, 2000 speech, “Winners of the New World?
Something unexpected happened on the market's relentless trek to all time highs: the market died.
As is his way, Billionaire investor Warren Buffett calmed an anxious nation earlier this month with his comments that:
"Valuations make sense with interest rates where they are."
And it seemed to work as stocks hit new record highs and Americans have never, ever been more sure that stocks will continue rising for the next 12 months...
Why wouldn't they - Buffett knows all, right?