September 2014 Update: Where Is The Stock Market Heading?

Reviewed: September 23, 2014
By FinanceWeb

On The Crest Of The Wave

When riding a wave, one is the last to see that it is breaking. But to continue the analogy, a skillful wave rider finds a way to stay balanced on the curl. The stock market continues on one of its longest positive runs uninterrupted by a significant correction. Some may take note of that fact and begin to wonder if and when, like all good things, this too must end.

News And Events

The world is full of events that make markets quiver, and there is a war in Eastern Europe, economic warfare in its aftermath, and China seems to be flexing economic and military muscle. The Middle East is in a state of near revolution. Many nations have been destabilized, and populations cast out to seeking safety. With so many urgencies, the markets take each hammer blow in stride.

Bumps In The Road

The S&P index is up by 9 percent for the year, Alibaba just set a record for an IPO, and the global economy seen through the lens of the NYSE seems to be growing despite all of the obvious problems. No one wants to believe in the bearish side of the coin, the austerity in Europe that, combined with sanctions, seems to have the potential for a bump in the road. We whistle and keep walking, and the market seems to take it all in stride.

Clear To The Horizon

The market chugs along as if on a cloud of digital inputs where real world events simply lose meaning. I think international bonds might be a bellwether for signs of a coming change. However, for the near term, the market seems strong and in the conflict-torn world, it seems bullet-proof too.

Alibaba And A Brave New World

There are moments that seem to reveal much about the shape of business around the world. Events that reveal the current ways are molding into something new. Alibaba the Asian model for business communications and it offers a new power principle for business. Business technology should be tailored to pay; it is not enough to be impressive and amazing. When one can sit in New York and a few clicks source essential parts from Asia, and go further to arrange an owner-to-owner telephone conference, the world has changed, and the barely possible has become the new routine. It is an amazing thing, and it is profitable.

Through The Eyes of Google

A pair of glasses hardly makes the news, unless it is by Google, and it comes with a display of virtually any information one can imagine. Google Glasses that can keep one connected to the Internet or cloud-based software services. Controllable in some function by eye movement, a new way to work, play, and travel has come into existence. It can one-day aid a surgeon, keep a soldier safe on the battlefield, provide face and voice recognition for security, turn the maitre d’ hotel into a savant who knows every guests name, favorite wine, and itinerary. Some inventions sell a stock, and some inventions lead investors to look for new industries.

A Comfortable Resolve

The market rises steadily and news and events that should resonate fall on inattentive ears. Many who wish to be the first to announce the end is nigh, seem reluctant to speak, There are not enough shadows to make anyone believe the day is done. Investors bask in the sun of this great shining moment. Some say these are the times when a sudden surprise bites the unsuspecting. It simply is true, and the spirit of the market is decidedly optimistic. There may be short-sight in the moment, or the practiced blindness of one who does not wish to see. But when the words correction and bear market are spoken they lack the resonance of concern. Sometimes an investor goes with a gut instinct, and other times- as now- the entire market seems to say the same. The state of the market is strong, and while it bears watching, the direction is clear. One may not be without risk of error, but there are times when one is simply without doubt.