9000, 2000, 1000

The Lehmann Letter © The stock market retreated slightly today, but all the major indexes have passed milestones lately: The Dow 9000, NASDAQ 2000 and the S&P 1000. We’re far ahead of recent bottoms. But that doesn’t guarantee continued steep and strong gains. The economy and corporate earnings must improve dramatically, and that’s linked to residential real estate’s recovery. Remember that housing led us into the morass. It’s hard to envision a strong recovery while real estate remains weak. The Federal Reserve has a role to play. The Fed promotes economic expansion by reducing interest rates, thereby stimulating borrowing and Continue reading