Confidence in the economy has grown, as the economy has demonstrated its ability to ride through tough times (recession, budgets, deficits, sequester, government shut-downs and the weather) and still produce growth. However, growth in leadership still (to me) appears to be a bit lacking.
There are some signs that spending is increasing, and along with it some corporate commitment. However, ‘some’ will be slow, and while slow and steady has worked for the stock market for the last year-and-half, I’m not as certain about the steady when it comes to the economy. Regardless, cash is enormous, with enough money for companies to do whatever they want. And when they start spending it – that is where you want to be.
This article was written by S&P Dow Jones Indices Senior Index Analyst Howard Silverblatt.
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