The Total Disintegration of Relationships

 | Jan 04, 2013 | 3:00 PM EST
  • Comment
  • Print Print
  • Print

Transports, oil services and banks are breaking out? How can this be?

Welcome to a total disintegration of relationships. If oil goes higher, transports -- which use a ton of energy -- will have numbers cut if energy soars. That's what is supposed to happen in real business. Buyers of bank stocks are supposed to dislike inflation, but if oil and transports go up then bank stocks should go down.

So what does this mean? How can they all be going up? How about it's because of a worldwide recovery that people don't think will be derailed by the debt-ceiling discussion, higher taxes for the rich, or a punch bowl-pulling Fed.

I am mesmerized by total money-in days like today. They have been few and far in between since the stock market's great bull run of the 1990s, when it was business as usual for all groups to go up at once.

I know someone will try to out-think this. "Jim, this is all risk on." Oh please, what does that mean? Like casino risk? Like taking the Redskins this weekend? Or, "Jim, it's about the strong dollar." Sure, except those relationships have totally failed you in the last two years.

You are getting a rally in everything because buyers think everything's better.

Beginning next week, we find out what we were actually buying. Right now, though, it remains party on!

Columnist Conversations

volatility is quite low here, and we could see some downsides here in the short term. ...



News Breaks

Powered by


Except as otherwise indicated, quotes are delayed. Quotes delayed at least 20 minutes for all exchanges. Market Data provided by Interactive Data. Company fundamental data provided by Morningstar. Earnings and ratings provided by Zacks. Mutual fund data provided by Valueline. ETF data provided by Lipper. Powered and implemented by Interactive Data Managed Solutions.

TheStreet Ratings updates stock ratings daily. However, if no rating change occurs, the data on this page does not update. The data does update after 90 days if no rating change occurs within that time period.

IDC calculates the Market Cap for the basic symbol to include common shares only. Year-to-date mutual fund returns are calculated on a monthly basis by Value Line and posted mid-month.