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The broad market ended the month of November just below record highs, having logged its longest streak of weekly gains in nearly a decade. The Dow's weekly gain was its eighth straight. It finished up 3.5 percent in November for its third consecutive monthly rise. The S&P 500 finished the month up 2.8 percent for its longest stretch of weekly gains since a nine-week run ending Jan 23, 2004. The Nasdaq added 3.6 percent in November to reach 4,049.89.
For the year to date the Dow is up 22.6 percent, the S&P 500 is up 26.8 percent and the Nasdaq is up 34.3 percent. Growth portfolios outperformed value portfolios; the largest gains came in small cap growth stocks, which are up 38.65 percent year to date.
J.J. Kinahan, chief strategist for TD Ameritrade says there is still room for the market to move higher. "Everyone wants to be the one to call a top, but many individual investors and funds remain underinvested," he said. "The only bubble is in the number of people calling a bubble."
The fact that so many people are worried about a bubble is a good sign because it puts a brake on overexuberance. There are numerous matters to be worried about. Perhaps the biggest is the U.S. government, which appears totally...