Currently the S&P500 is down 6.2% from its recent peak. (Charts for DJIA, NASDAQ & QQQQ )
On Friday July 27th, 2007, Mark Hulbert wrote in an article called "Despite Thursday, top market timing newsletters remain bullish." In the article, Mark wrote:
- Bob Brinker's Marketimer: Bullish. In his most recent issue, which was published in early July, editor Bob Brinker reported that his stock market timing model remained solidly in bullish territory. "A strong case can be made for a move into the S&P 500 index 1600's range as we move forward and investors begin to discount operating earnings growth potential into 2008 ... We do not expect to see a cyclical bear market anytime soon."
Brinker confirmed he was still bullish Saturday July 28th, 2007 on the radio when he said:
- "Well lots going on in the world of finance, lots to talk about. We've seen about a 6% correction in the stock market, in terms of the Total Stock Market Index and the S&P 500 Index. And of course, if you are a listener to Moneytalk, you are well aware that short-term corrections are a normal part of investing in the stock market." Read all of what he said Here at Honey's Bob Brinker Beehive Buzz in post #1371
Brinker continued:
- Now of course the irony on all this is that it comes against a backdrop of fundamentals that are most interesting. For example, is the global economy growing and healthy? Well, the answer is yes. For example, is the United States economy growing and reasonably healthy? And the answer is yes. In fact, the one pocket of major weakness in the U.S. is well known - and that's the housing market. And that certainly is a domestic enterprise. The housing market is a uniquely domestic industry and sector. And certainly that's in recession - no argument there..But the rest of the economy is growing. In fact, just this past week we received the preliminary report on Gross Domestic Product, adjusted for inflation in the second quarter, showing annualized growth of 3.4%. Now that was a needed rebound after the 0.6 growth in the first quarter. But that brings the growth rate up to 2% annualized for the first half of 2007. So not only is the international economy growing, but the U.S. economy is also growing - albeit at a moderate pace - and that of course directly, directly attributable to what we have seen in the housing market.
Brinker remains bullish and I suspect we will hear him make fun of the "bad news bears" if the stock markets return to new highs in the near future.
Discuss Bob Brinker and his timing model in our Bob Brinker FREE Discussion Forum
Kirk Lindstrom DISCLAIMER: Answers & my words are general in nature, are not meant as specific investment advice, and do not necessarily represent the opinion of anyone but Kirk. Individuals should consult with their own advisors for specific investment advice.
