Nice month for a change, but I can't help but have an uneasy feeling about this rally. This Friday's job report could be a real market mover if it surprises either way. The G-20 meeting starts on Thurday and it looks like it's not going to be a lovefest. French President Sarkozy has already threatened to bolt if he doesn't get his way. The markets will not like it if world leaders are not on the same page. Worse yet, protectionist measures are being imposed by 17 of the 20 nations that make up the G-20. The crisis in the auto industry will also be front page news as GM has 60 days and Chrysler only 30 to come up with a major restructuring or file for Chapter 11. Yesterday's stock market action showed you how investors feel about that possibility. This market is still very fragile, be careful.-Lou US Stocks Up; Tech Rallies On Window Dressing
U.S. stocks pared their gains Tuesday as a rally in the financial and technology sectors petered out, though the Dow Jones Industrial Average looked to be headed to its best month since the bottom of the 2002 bear market.
For the first time in 17 months, the bulls have credible ammunition for stocks: There are tentative signs of stabilization in the U.S. economy and banking system. The bulls face their own stress test in April, however, as results of the Treasury Department's banking review or corporate first- quarter profit reports could wipe out recent gains.
The Dow was recently up 84 points, or 1.1%, at 7606. The Dow is up about 8% for the month to date, its best gain since October 2002, which turned out to be the bottom of the last bear market.
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