What kind of scared little girls are we here at Notes? Here we were warning our readers of the dangers of the current rally in stocks while everyone else is out there “getting some.” Stocks surged yesterday. The Dow hit its highest level since January 13, closing at 8,426.
Another currency rally…. SNB cuts another 50 BPS! Budget Deficit continues to widen! Treasury yields go south for the winter! And Now… Today’s Pfennig!
The market has rallied eight times since it peaked last October. If Friday was the beginning of another rally, it would mark the ninth time.
On July 16, 2007, we sounded the alarm on commercial real estate stocks… aka REITs. We cited record low yields and high valuations as reasons for avoiding – or even shorting – the sector. It didn’t take long for the market to prove us right.