August is Usually Weak

August tends to be a bad month in the stock market.

For those who follow seasonality, the summer tends to go nowhere even with a summer rally. July definitely gave us that, and yesterday the market showed no signs of slowing down. Even today's initial weakness seems to have eased a bit as the trading day goes on.

I think the most likely scenario is a pullback over the next few weeks. No signs of that yet, though.

I think it's obvious that the worst is behind us as far as the economy goes. I don't know if folks will realize this before the Fall election, though.

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In edit: This is one of those entries via the iPhone 4 (using Blogpress), where I forgot to finish my contents after inserting the picture.

The creator of the Cheez Doodle, Morrie Yohai, has passed away.