by Jon S. Strebler
The fact is that significant market trends develop over a period of months, not days. That sometimes makes writing meaningful weekly commentaries challenging. The good side of this conundrum is that we have many chances to drill down deeper into topics of interest, and also to go on little side trips without being derelict in our primary duties (unlike that cowardly SOB deputy at the Florida school).
Our main concern these days is: Whither the stock market? We know that: It's in a bull market, and in correction mode within that bull market. How much further will prices drop, if indeed they are going to drop more? It may well be that the lows of a couple of weeks ago will turn out to have been THE lows of this correction, as the past few days have been extremely positive. The odds seem to favor more fireworks before stocks again soar into new highs, however. In any case, assessing this correction, whether and at what point to add to equities positions, etc. – those are the big issues now. But let's take a break from all that to explore some big pictures for the perspective they offer.