Beware Greeks Bearing Bonds

We have to thank Mark Hulbert of the Hulbert Financial Digest for regular reminders about contrarianism. The latest consumer confidence and consumer sentiment data are not a reason to worry about the length or strength of the economic recovery or the market advance. He notes that consumer sentiment is very much a lagging indicator and in times past has bottomed well after the onset of bull markets and economic recoveries. The current low for consumer sentiment was way back in May last year, although we aren’t that far from those levels after this past month’s reading. Typically, consumer sentiment turns several months after the onset of recovery and even further after the onset of bull markets. The recent reports are just a couple more bricks in the wall of worry that this bull market must climb. Read more