I wouldn’t read too much into the rally. Before the boom times hit again the DOW will dip to 10,000 or less. At least one, perhaps 2 big banks will close up shop (JP MOrgan on the inv bank side and perhaps Wells Fargo or Citigroup on the commercial bank side).
There will be a massive tax reform and some level of privitizaion of social security. The tax reform will boost the housing market or level it off and the privitazation of ss will boost the stock market.
The double edged sword will be that once social security is in private hands, politicians and fed reservists will no longer be able to manipulate money supply and interest rates as easily as they did in the past. This is not altogether a bad thing, though.
