re: #330 Gus 802

The DOW closed at 12505.99. “Nearly a 3 year high.” Whatever that means to me I still don’t know.

If you put money into the market during the market crash, you’ve made a boat load if your money tracked the DJIA. If you were DCA’ing over the entire time, you’ve probably come out ahead since the market crash. The strong market since the collapse has meant that states have seen a moderating in their pension funds and that reduces some of the pressure on those states to raise taxes to cover their obligations, but it isn’t a total fix since many of those states (like NY and NJ) are still billions in the hole. The strong stock market has meant a revenue boon for NY especially as it benefits from a strong Wall Street showing - as it directly taxes Wall Street transactions, and that further reduces pressure to raise other taxes or spending cuts to compensate.

I suspect that the market may be heading for another correction, especially as energy prices drive costs higher and will put a crimp into manufacturing and other sectors, as well as lower consumer demand as energy costs take up a higher percentage of spending.