Followed by a year marked by the worst financial crisis since the Great Depression, optimism for a modest recovery seems to have taken root among some investors.
”We've made the lows for the cycle; we won't go up in a straight line, we'll have a saw-tooth pattern, but I think we'll get to 1,200 [for the S&P] before the year is out,” said Byron Wien, Pequot Capital Chief Investment Strategist, during an interview on Squawk Box yesterday. (Read Byron Wien's Top Ten Predictions for 2009)
In the last eight trading sessions and as of yesterday's close, the S&P 500 Index was up 8.3%, followed by a gain of 7.6% for the NASDAQ 100, a rise of 7.1% for the Dow, and an increase of 9.8% for the Russell 2000. Today, the markets are down on some tough economic news.