Welcome everybody scary situation there. The dow the s p and the nasdaq hitting new highs. If we close at another record high today it would be the 70th record close this year breaking the 1995 record for the most closing highs in any year. With the gains the dow is up more than 5,000 points this year that is obviously never happened check out the individual movers. Etf on pace for its best day since december 4th abercrombie leading the way. Best buy trading at an all time home and dr horton and berkshire hathaway, 300,000 a share and now 23 this year topping the s p 500. Wow. Lets get straight to the rally. On the floor of the nyfc. Big enthusiasm. You might have thought the tax bill was priced in but apparently not as he mentioned consumer earnings today are leading. Both benefiting from the tax bill a fairly broad rally the only thing not big is the volume more like Charlie Brown Christmas Tree size. Modest yet still shining bright. Take a look at the all time highs. 58 on the s p 5
then reach a conclusion about the direction that awaits us. first let me give you the bare case because that is most salient right now, because until this morning, the bear case had suddenly come to the front. the durable goods numbers, further reduction in gross domestic product. they all pointto diverse is as well as what we now regard as a pathetic apple iphone. you can see why people would be petrified about the earnings. you would like to think this is all an am nomly if you re bullish. and the economy has a little rough patch before it accelerates again. what happens if this is the rough patch that causes companies to slam on the brakes, this is no longer a fiscal cliff but a fiscal retaining wall. when you see that we have gone from thinking we can jump the fiscal cliff to thinking how can we slow business spending so that the collision won t destroy us? it s not just the u.s. that was a drag. china, there s a big hate on china right now. china is big halt. no. b