Happy New Year

What looked to be an awful year for stocks ended up being a very strong year for stocks. As we look into the new year, we have many non-traditional headwinds that could limit investment returns over the coming years. That said, the market and the economy seem to be picking up steam as the new year begins. The recently released new car data is much better than expected and portends a strengthening economy (cars aren't cheap, credit is being extended). Due to the lack of downside preannouncements, I would expect the earnings season to be generally better than expected, but the key will be guidance and the reaction by the market to the earnings. The market posture right now is bullish, the toughest trade being short almost any asset. Although I am slightly cautious on the market because it is due for a correction, there seems to be a lack of analysts seeing a strong recovery. This is not a reason alone to be bullish but the outside the box thought process makes me think a strong recovery is what we could get. Stay disciplined.