“The question remains whether [the recovery] is sustainable,” Cashin told CNBC.
“The amount of money being put into the banking system and other places is up 23 percent from where it was last year…So that’s still a question mark, unfortunately.”
Cashin said if the S&P 500 can get through the 1,088 to 1,092 mark, then the index can run up to 1,100.
Meanwhile, investors are focusing on the release of European bank stress test results, due on Friday, although some sources said they may be released earlier. They are expected to show generally positive results for Greece, Italy and Ireland; and a few failures in Portugal and Spain.
“Investors are hoping the stress test results might get announced early in the morning and that may be part of the rally too,” he said.
Scorecard—What He Said:
- Cashin's Previous Appearance on CNBC (Jul. 21, 2010)
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No immediate information was available for Cashin or his firm.