The S&P 500 index, referred to as the market barometer, is above 1400 to its highest level since May 2008.
The index is closely watched and SPDR S&P 500 (NYSEArca: SPY) is the largest ETF by assets. Some analysts make the case that the S&P 500 is still undervalued despite the rally in 2012.
“Equities are building more and more strength, but with quiet, unassuming conviction,” Waverly Advisors wrote. “We believe that many analysts are probably missing the message of the market, and this sets the stage for a dramatic rally when sentiment does shift.” [Index ETFs: Is Buy and Hold Dead?]
The recent news concerning the European Central Bank and more bond buying plus news that officials in China are ready to take aggressive action to stimulate the economy has lifted the U.S. equity market. The S&P 500 hit its highest mark since May 2008, and has since dropped off a bit as traders cashed in recent gains and technical resistance was hit, reports Rodrigo Campos for Reuters. [Surveying S&P 500 Index ETFs]