It has been the best quarterly earnings season in a long time. More than 87% of companies that have reported thus far have beat earnings estimates. That is a record, and investors celebrated. Last week, I mentioned that this earnings season has been a classic example of a sell-on-the-news. It has been especially so for companies in the technology sector, but not so much for investments in other areas. What, you might ask, does this say about the overall markets? The most bullish interpretation is that we will continue to move higher, making new highs after new highs. The Dow…
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Tag: market highs
Markets bet on stimulus sweepstakes
The first week of December saw all three major averages climb to minor new highs. The trigger was more good news on the delivery timetable of the coronavirus vaccines. The expected speedy distribution of the first batch of wonder drugs encouraged investors, even while the number of COVID-19 deaths and cases nationwide continued to skyrocket. In addition, a new dose of hope-ium has infected investors on the stimulus front. The Democrats $2.2 trillion proposal has gone nowhere since July, thanks to the Republican-controlled Senate. The Democrats then reduced their price tag in an effort to forge a compromise before the…