Thursday, May 31, 2007

The S&P 500 makes a new record high! Can anything stop the stock market?

I don't think a simple financial or political issue is going to stop it. It's survived 6.5 years of Bush, a débacle in Iraq, the slowdown in real estate, and so on, and so forth.

It's going to take another 9/11, an energy crisis, or something that will cause the world to lose confidence in the US.

Part of the reason the latter has not happened is that there are no real alternatives. The PRC economy is still an appendage of the American consumer, so PRC is not yet interested in taking over. The EU is in as poor fiscal and social shape as the US, and Russia may be able to join the party when they stop running out of people.

Of course if the next President stays the course Bush is staying, people may turn to someone, anyone else.
Melanie is growing so fast. Here's a link to her photo album. New photos will be added as I take them, and I've gotten Lisa to send me some of the cuter moments she has during the day.