The bull market reached its 2,000th calendar day of
existence earlier this week, on the same day as the S&P hit 2,000.
That little spurt of coincidence almost felt like a turning point. The pundit
cries of market top have quietened just a bit. Bears are probably tired of
screaming it. Investors are definitely tired of hearing it and writers
are tired of writing about it.
We’re now on the way through the fourth-longest bull run
since 1928, and there seems to be a growing confidence that the market has
already priced in most of the bad stuff. Hence, Labor Day weekend
should be enjoyed, with a relatively low level of market-top bubble stress to
detract from the beers and barbecue.
That’s probably the way it felt for investors during Labor
Day back in 1929, too. After all, stocks were taking out highs regularly then,
as well. And the Dow would knock out another record the day after Labor Day.
That September 3, 1929 peak, however, would be the last for
awhile. October gets the press, but it began to unravel much earlier. The final
Labor Day of the “Roaring 20s” turned out to be a pivotal juncture on the way
to the Great Depression.
But stocks are up at the moment, so let’s worry about
potential catastrophes next week. For now, pass the brats and an extra helping
of sunshine. We can start the hand-wringing all over again on Sept. 2.
Key market gauges: With
Thursday’s slightest of hiccups behind us, it’s back into green territory, as
futures on the Dow and the S&P try to hold on to some rather
slim gains.
The economy: The
week winds down but we still get personal income and outlays for July, followed
by the Chicago purchasing managers index for August at 9:45 a.m. Eastern. Then,
10 minutes later, the Reuters/University of Michigan consumer sentiment
index is slated to hit.
The buzz: Rough
day for Abercrombie & Fitch which saw its stock take a hit on disappointing
earnings. But the hidden headline is that the company is cutting back on the
use of its logo.
Apple’s busy week of buzzmaking comes to a close with its
official Sept. 9 event announcement. It’ll happen
at the same place Steve Jobs unveiled the Mac some 30 years ago.
Earnings: Thursday’s
late reporting crew is drawing mostly rave reviews, with Avago, Splunk , and Veeva all in rally mode this morning.
The chart of the day: Fresh
off all the banter about the Ford Mustang going global with right-hand
drive for the first time
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