Dow, S&P 500 close at highest levels in 2 years

[Toro]

Much of the increase in stocks is due to quantitative easing.

Some of it is due to economic improvement, but stocks would be nowhere near as high if the Fed weren't printing money.

 

[Oddball]

Kinda what I was getting at in #3.

 

[uscitizen]

Much of the increase in stocks is due to quantitative easing.

Some of it is due to economic improvement, but stocks would be nowhere near as high if the Fed weren't printing money.

True, which further shows the bogusness of this market.

 

[rdean]

Republicans have blocked Wall Street regulation. This has caused speculation with foodstuffs causing the cost to skyrocket.

 

[Sallow]

Dow 12,041.97.

Happy days are here again..

 

[william the wie]

Much of the increase in stocks is due to quantitative easing.

Some of it is due to economic improvement, but stocks would be nowhere near as high if the Fed weren't printing money.

True, which further shows the bogusness of this market.

But that begs at least two questions:

What percentage of the 5500 point rise is bogus and how much real?

The Lunar New Year holiday this year combined with the growing labor shortage is causing quit rates to sky-rocket in China so insourcing to the US, Mexico, Canada and other more dependable labor sources is cutting into China's competitive advantage. So some US GDP increase is due to rising Asian incomes and it is likely to grow much faster than US GDP as a whole. Substituting US, Ukrainian and Russian coal for Australian is going to have major positive effects on the US economy, likewise with food crops. The question is whether there is any way to determine the magnitude of those effects later in the year?

 

[Paulie]

Kinda what I was getting at in #3.

Kinda what a LOT of us have been getting at since March '09.

Banks are using their increased reserves to invest rather than to lend.

It's not rocket science.

 

[freeandfun1]

Republicans have blocked Wall Street regulation. This has caused speculation with foodstuffs causing the cost to skyrocket.

No, there are actual shortages. That and QE.

What regulations are being "blocked"? That's news to me and most of the world since there hasn't been any discussion of new regulations by either party.

 

[Trajan]

Market Report - Feb. 1, 2011 - CNNMoney.com

NEW YORK (CNNMoney) -- U.S. stocks started February with a bang Tuesday, with the Dow and S&P 500 closing above key psychological levels for the first time in more than two years, and the Nasdaq gaining almost 2%.

Investors overcame ongoing jitters over protests in Egypt and new developments in Jordan, where the king dismissed his government and appointed a new prime minister.

The Dow Jones industrial average (INDU) rallied 148 points, or 1.3%, to finish at 12,040, the highest June 19, 2008.

All but three of the 30 blue-chip components moved higher. A 5.5% jump in shares of Pfizer (PFE, Fortune 500) led the advance, with the drugmaker posting better-than-expected fourth-quarter earnings. Alcoa (AA, Fortune 500) and Bank of America (BAC, Fortune 500) were also big Dow gainers.

Well this certainly looks like good news, least on the surface. Thoughts USMB?

I own only what my co. and my wifes co. have given us or sold us at the 15% discount. I got out of the rest a month before the big drop 2 years ago....I did sell off my cali munies too back in august.

I don't know enough to be a day trader and have no compunction to learn and the time as well. frankly were else does money have to go? forget savings accounts, cd's, zero coupon bonds and all that..... when I got laid off I rolled my profit sharing over into a locked in 7% annuity, no fuss, no muss, no heartache, rule of 12 will do its magic and I can sit on it for the 13 years I have left, and a month later they dropped that offering to 6%, wonder what it is now? Right now I plow a 403b I have at work and real estate. Screw the market......

 

[SFC Ollie]

I do not trust the Markets. Don't trust them as any type of indicator any more.

 

[william the wie]

I do not trust the Markets. Don't trust them as any type of indicator any more.

Get "The Intelligent Investor" by Benjamin Graham. Even though it was written three-quarters of a century ago his 50% stocks/50% bonds, readjust once a year, is as boring as an effective investment portfolio can be, which is as it should be.