S&P500: Time For A Correction?

“The crash-callers will be out in full force this week. That’s fine. Let them have their fun.”
We’ll interrupt Greg just long enough to note celebrity hedge fund manager David Tepper is on CNBC saying, “Don’t be too fricking long” the market. Heh...
“But back in reality,” says Greg, “I don’t think it’s time to run and hide from stocks just yet.”
According to Pension Partners, the S&P 500 has gone 372 trading days without dipping below its 200-day moving average. We’re only 13 days away from the record, set in 1995-96.
Streaking Toward a Record...
When that mid-1990s streak ended, the index corrected 11% from its May high to its July low. “From my vantage point,” says Greg, “an 11% correction beginning sometime this summer would be very healthy for this market. Also, it’s important to keep in mind that the 11% pullback in 1996 resolved with a huge year-end rally.
“If you rotate into the ‘safe,’ yield-producing sectors that are working right now, you should have no trouble weathering whatever the market throws your way.”

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