EWI pointed out last night that the Dow made a new multi-year high of 14,100 yesterday - the highest level going back to 2007, albeit still slightly under that year's high of 14,200. The high was unconfirmed by all of the other major U.S. indexes. Apparently, at the last major top in 2011, the same situation occurred - the Dow was the last index to top out. So, to recap the current set-up, the Nasdaq outperformed through last September, then the Russell 2000 small cap took over and outperformed until last week, now the Dow is leading...
This article said the exact same thing yesterday, that large cap dividend paying stocks (i.e. the safest) are now outperforming the rest of the market. Which means only one thing - that all other asset classes are exhausted, so investors are clinging to the least risky risk asset left - dividend stocks...
"Greedometer" flashing red (7900 out of 8000)
Meanwhile, from a guy named "Jeff Seymour" who has been studying all of the various factors that lead to market crashes, his "Greedometer" is flashing red. His factors are: the Vix, the economic leading indicators (WLI), insider selling, profit margins, # of selling climaxes (new highs/reversals), advisor sentiment, margin debt, and the put/call ratio.
The maximum possible reading is 8000 and the index is currently at 7900 - the same level it hit in 2007. The bottom line is that contrary to CNBS and all of the other infotaintment spewers, there is no new bull market underway, just a new market for bullshit...
Full story here.