As I already posted on the 3rd March….the market is an euphoria mode: the Reserve Banks of World will save us from everything.
As usual when Goldman Sachs (specially), Morgan Stanley etc they agreed that we are (their words) in a “secular raging bull market”….I get suspicious.
Moreover every little drop is considered an opportunity to jump on (guess)…CBA for its dividends.
Apart being contrarian…a few real food for thought.
March is the first US earning season that have to deal with the impact of the high US Dollar.
2015 is the first year since 2007 where the Central Banks have different agendas (US tightening and Europe/Japan/China loosening) which also produce ripples on the currency markets.
The oil price crash helped the retail economy, but one third of the SP500 is composed by energy companies which are faring not so well (and also they are often been financed by the US high yield bond market…)
China keeps on reshuffling issues, instead of solving them.
Greece issues were never solved, just postponed 4 months and now (well between now and May) there are the real negotiations.
So in my opinion there is a market topping situation to say the least. This technically could go on until May – but one cannot know.
investorpolitico 