Year End Rally Has Started

The last two weeks were filled with news and the reaction was bullish.

PRE-OPEN MARKET COMMENTS FRIDAY - From August to the election, the market stayed in a holding pattern near the all-time high. That time gave the bid a chance to build. Companies have a quarter of solid earnings growth under their belts and stocks have been at the same level since August. That makes them attractive on a relative basis. The last jobs number was soft because of storms and strikes and those influences have passed. For safe measure, the Fed cut interest rates by 25 basis points yesterday. Trump won the election and he is a known commodity since he has already served one term. The results were decisive so there will not be a drawn out recount. Republicans won the Senate and the House is likely to go their way. Right now the Democrats have 200 seats with 6 more leaning their way. Republicans have 211 seats with 8 more leaning their way. The debt ceiling needs to be raised in December and this process should go smoothly if Republicans control the House.

Daily Bulletin Continues...