Why isn’t the market collapsing?

By Leon Tuey, Financial Post

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.

Since October 2008, I’ve been of the view that a secular bull market commenced. In terms of magnitude and duration, this bull will surprise all. I see no reason to change this view. (more)