, Columnist
Fear Not, the Stocks Rally Has a Simple Explanation
More than any economic data, the waning sense of immediate threat from the coronavirus has driven gains.
The more immediate the threat, the more bearish we’re likely to be.
Photographer: ANGELA WEISS/AFP/Getty Images
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We had a slight interruption in the mood of optimism Tuesday, as U.S. stock markets took a step back. The main decliners were the tech stocks that had led the advance, and whose rally looked overstretched. There wasn’t necessarily much to worry about in this. This was one of those rare “healthy corrections” that was actually healthy and went some way toward correcting something.