I read a couple of interesting articles this morning I wanted to share.
The first is called Hedge Fund Legend Michael Steinhardt Says Treasuries Are Foolish.
Steinhardt goes on to say that he thinks the current market rally will
not last and that we are not out of the woods yet. He says, "The
economy is still a scary place. My net feeling is that this rally
doesn't have all that much more to go and the dangers out there remain
consequential." Clearly he sees this as a bear market rally and thinks
we have large fundamental problems still unsolved.
The second is an interesting article on how the consumer confidence indicator is actually often running the opposite direction of where the market is about to run. Bears, take this to heart when considering the recent surge in confidence.
In other words, focusing on consumer confidence tells us more about how
the stock market has performed in recent weeks than it does about the
future. But insofar as consumer confidence tells us anything about the
future, it's that big rises and/or high readings are more negative than
positive for the stock market.
