Some analyst at a famous web site just published an article on the VIX and how the single digit hit back in 1994 started the bull. Well, first of all it was also hit in December 1993 (even lower) and secondly, he fails to mention that SPX dropped a whopping 10% within two months (January to March 1994), before starting the slow build into a new bull. That would be a 120 point SPX drop by October. Not likely, but even half of that would be troubling. There is plenty to worry about for stocks near term: attractive yields emerging, higher oil and not a bear to be seen. Meanwhile, I stay bullish on oil and try to get in on the short of the year in stocks. It could be sweet. Might be a couple more weeks, or we have it now.
This entry was posted
on Sunday, July 31, 2005 at 11:07 PM.
