There's no room for error in these markets. Liz Ann Sonders, the CIO at Charles Schwab says that the US is still in the middle innings of a secular bull market, yet that doesn't mean we won't see any corrective phases. Sonders cites two issues that could cause some market jitters 1) An inflation scare - she singles out rising rents and non-supervisory wages as the ones to watch; and 2) Frothy investor sentiment - last week's survey of newsletter writers by Investors Intelligence showed bulls increased to 62%, the highest reading since January 2005. I don't think you have a lot of room for error. I think the market is set up so that if we were to get some sort of problem, geopolitical or inflation scare, sentiment is frothy enough that that probably is a problem for the market. (VIEW LINK)


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