Did you see the third item on Byron Wien’s list of surprises for 2011?:
3. Encouraged by renewed economic momentum the Standard & Poor’s 500 rises close to its old high of 1500. A broad range of sectors participate, but telecommunications and utilities lag. With earnings improving, valuations seem low and individual investors return to equities for the first time since the financial crisis. Merger and acquisition activity becomes intense and the market reaches a blow-off euphoria. Stocks correct in the second half as interest rates rise. [Emph. added]
Great idea! . . . . It doesn’t sound so outlandish when Wien says it, does it? Particularly that part about valuations. . . .