Via Citi:
It is more typical that bulls have to push back against bearish contentions, with charts showing a series of concerns that need to be addressed. The Fed’s actions, valuation, profit margins, tax policies, and a host of other issues are raised when investors attempt to smear the rally that has been in place now for the past four months. And, there is this wonderful debate about “soft” versus “hard” data with ISM now seen as just a diffusion index for new orders despite its lead indications, and the same can be said of hiring intentions.
Too much information has come in showing robust activity such that it is getting harder to suggest weakness. ISM, consumer sentiment, consumer spending, durable goods orders, hiring plans, capital budgets, homebuilding, etc. all intimate strength, but the doubters then shift attention to new fears. In essence, previous concerns that dissipate are just replaced with new points of anxiety.
