The Dow Jones Industrial Average has bounced an astounding 30% from its March 9 low of 6547. Is this the dawn of a new era? Are we off to the races again?
I'm not so sure. Only a fool predicts the stock market, so here I go. This sure smells to me like a sucker's rally. That's because there aren't sustainable, fundamental reasons for the market's continued rise.
Read the whole thing at Was It a Sucker's Rally? - WSJ.com.
I have been saying for a while that I think things are going to get bad again, for at least a short period. I think we're headed for a "W"-shaped curve (two significant drops before the real recovery starts). I hope I am wrong.
Indeed, I think that with the record-setting spending from this administration (President *and* Congress), we are headed for even *more* trouble later. There are only two possible ways to fund that spending: exorbitant inflation, or exorbitant taxation. Either one is horrible. And leftist commie socialists wonder why the Tea Parties strike such a chord.