Decreasing interest rates, increasing unemployment and high bullish sentinment?

"Once stock prices reach the point at which it is hard to value them by any logical methodology, stocks will be bought as they were in the late 1920s – not for investment, but to be unloaded at a still higher price.
The ensuing break could be disastrous because panic psychology cannot be summarily altered or reversed by easy-money policies."

--Alan Greenspan, 1959

 

Same story different day, but now the well paid Wall Street brokers are less bullish...

 

Of course i can't prove any of it, but i'm under the impression that the US-government is using the stockmarket as a vehicle to stimulate the economy.

 

I think they take it into account much more than they used to because so many people are aware of it and doing their own investing. The dividend tax reduction was aimed right at the stock market and at the time analysts were saying that the market recovery would start with stocks that pay dividends so apparently the admin thinks that the wealth effect is one way to stimulate the economy and I have to agree, I sure spend when I make some money out of the markets.

Max