Here in Laguna Beach today, it feels like summer. Gentle ocean breezes struggle to keep the mercury below 80 degrees, as beachgoers of all ages struggle to avoid sunburn while basking in the sun.
The conditions on Wall Street are not so different. Freakishly pleasant trading action is luring investors into a stock market that seems inviting and serene. For more than a year, investors have been basking in the comfort of steady capital gains. The trick, of course, is to avoid getting burned.[Read more...]