24 Apr 2009 The Worst May Be Behind
Posted at 16:36h in The Friday BriefAfter six weeks of market gains, we stalled at the beginning of this one. Leading economic indicators released on Monday indicated no clear signals of improvement which promptly sent the S&P 500 down 4.3%. It appeared that investors had lost their willingness to look beyond the bad news toward the possibility of economic recovery. But optimism returned on Tuesday with a significant rally on comments from Treasury Secretary Mr. Geithner that most banks were sufficiently capitalized. Market strength continued throughout the week as one earnings or economic report followed another with enough positive insight to stoke the bulls. State Street's institutional investor confidence index jumped 10 points in April to 79.6. The report, which analyzes trading volumes, said monthly flows into U.S. stocks are in the 98th percentile.