Another trading day, another record close. Yawn.
On Friday the Dow Jones Industrial Average and the Standard & Poor’s 500 index both notched their latest record highs while the Nasdaq Composite index nudged very close to its own peak.
New highs are so routine now, they’d be boring—if we weren’t making money. Nothing dull about that.
But what’s particularly notable is the slow grind higher while bond yields also tick upwards and the CBOE Volatility index (VIX) has slipped below 10 again, closing in on its low since December 1993.
I’ve dubbed the VIX the Complacency Index, and there’s sure a lot of that around, but I don’t see the kind of euphoria typical of a market top; in fact, investors seem to have a “meh” attitude about stocks even as they keep hitting new highs.
What does this show?