Stocks: Fear Is Good

Recent equity-market strength should continue, thanks in part to rising levels of investor nervousness

Last week, the stock market continued its bullish April gait like the D-day assault on Normandy. Onward and upward! The S&P 500 is rapidly closing in on its historic all-time high of 1527.46, set way back on March 24, 2000. We think the market is demonstrating blowoff characteristics, and the only issue is whether it will be of mini proportions or major proportions. We would prefer a mini-blowoff as the major blowoffs of 1999/2000, and 1987 ended badly. Stay tuned as things are heating up.

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