The Total Disintegration of Relationships

 | Jan 04, 2013 | 3:00 PM EST
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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!

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