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| IMF Headquarters, Washington, DC. (Photo credit: Wikipedia) |
On the flip side, Greece is crashing. Here's the scoop via Business Insider: "In Athens, the Greek stock market is down 5.8% today after a deal to privatize state natural gas firm DEPA failed to attract any bids from investors. DEPA was supposed to be one of the key revenue-raisers for the Greek privatization program. Failure to privatize DEPA will make it challenging for Greece to meet the revenue targets specified by the troika of EU, ECB, and IMF lenders in its bailout package." So aside from extreme volatility in Asia and continued implosion from Europe's most damaged markets, all's quiet this Monday morning… U.S. markets, on the other hand, are unfazed. Futures indicate a slightly higher open today. Storms rage at every corner of the planet. Yet domestic stocks continue their march higher. That's a big tell. The major media narrative of a potential blow-off top in stocks just isn't holding water right now. I've told you before that investor sentiment remains completely lopsided thanks mainly to the impact of the 2008 financial crisis. Shell-shocked investors cannot get out of their own way. There is no euphoria—only fear as the market ticks higher. The market's setting new highs. Yet panic abounds. A majority of the financial media's analysis questions whether the economy can find its footing—and whether stocks can hold their gains. But there is no euphoria in the markets. There are no dangerous excesses in this economy, as Bloomberg notes: "Four years into the upswing, the economy isn't seeing many of the excesses that often presage the start of contractions. Inflation is slowing, not quickening. Household debt is shrinking, not expanding. The labor market is slack, not tight." Remember these points as we start the week. It's time for you to channel opportunities (not fears) as the market bounces higher. As I said Friday, this is your opportunity to buy the dip. Remain objective, tune out the noise, and ride this market as far as it will take you… |
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