We will see whether he can take another 2 years of the stock market melting up.
He notes: "Investors Intelligence reported last week that the percentage of advisory bears has plunged to 14.4%, lower than at the 2000, 2007, and 1987 peaks, and every point in-between."
Dr. Ed Sum's up the new perma-bear view: "Of course, since the perma-bears have been predicting an imminent “endgame” scenario since the start of the bull market, their latest spin is clearly just a variation on their bearish theme. What has changed is that they aren’t as strident about impending doom, so they’ve tactically switched to the notion that stocks are too expensive given that doom is inevitable, even if it isn’t imminent."
Yep -that pretty much sums up my view. The Fed doubled down on QE to get in front of the sequester and avoided a recession. The Fed actions are carrying the day and it is possible that they will be able to gently reverse their policies with only a modicum of disruption to the global economy. While I view this possibility with a higher probability weight than I did two years ago, I still believe the most likely consequences will be significant buyers remorse on the part of the Fed. They now control one third of the US 10 year T-Bill equivalents.
Where are the sustainable reforms from US? from Europe? China? Japan? I guess all we need to solve the world's problems is central bank balance sheet expansion.