CNBC/Alex Roseberg/8-9-2016
“The fact is, the market hasn’t really been driven by genuine buying, but by stock buybacks, takeovers and acquisitions, and market leadership has been narrowing. It’s not that many stocks that have been making new highs. It’s quite a narrow growth of stocks that have been very strong.”
MK note: Difficult to quarrel with that assessment, though a 50% decline might be a bit on the strong side. As many have pointed out, the current lofty stock valuations are principally the work of the Federal Reserve and its easy money policies, and not the result of a strong underlying economy.
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