To the bears and worrywarts, I have a question: Given the overwhelming bearish consensus, why isn’t the market collapsing?
“It will” is not a good answer. Remember, the market is a leading economic indicator and tends to discount future events. If the future is as bleak as the bears have us believe, the market averages should have lost 30%, 50%, if not more by now.
If the bears would only learn to understand the major factors that drive the market’s long-term trend, they would stop flapping their gums and scaring the hell out of investors.
Also, if they stop being fixated with the S&P, thinking it’s “the market” and realize the impact of the financials and techs (both are heavyweights) on the index, they would be much more sanguine about the market.