Today the stock market reached the level we mentioned a week or so ago as being the forecast high for the year, S&P at 1149. This does not necessarily mean that the good news of the bear market rebound will not continue for a while or maybe all year, but it does mean that the market is over-extended on a valuation basis.
John Mauldin’s letter for this week provides his forecasts and analysis for 2010. We generally agree with these comments. Later this week we will provide our own analysis and make comments on Mauldins’s.
See his comments here: www.2000wave.com