The stock market has been on an incredible, historic winning streak that’s giving regular investors reasons to celebrate.
For the last five sessions, all three major US stock indexes – the S&P 500, the Nasdaq Composite, and the Dow Jones Industrial Average (DJIA) – finished the day at new all-time record highs.
The last time all three stock indexes pulled off this feat was February 2017.
The S&P 500 has climbed 3.5 percent over the last nine sessions, the longest streak of daily gains in a year. Meanwhile, the DJIA gained 3.3 percent over the same period and the Nasdaq Composite added 3.8 percent.
If the S&P 500 finishes this week in the green, it will mark its tenth-straight winning week, a record streak that hasn’t occurred since 1985.
Analysts agree that the massive rally is built on the ongoing gains in artificial intelligence stocks plus very strong earnings growth.
‘We’re in a bull market, and I believe we’ll remain in one for some time as one of the strongest indicators supporting that view is earnings growth,’ Laffer Tengler Investments CEO Nancy Tengler told the Daily Mail.
But in the background, fears are growing that the massive gains could be the last hurrah of a market heading for a massive crash.
‘Since World War II, the only other time the S&P 500 has risen this rapidly… was months before a huge market crash,’ wrote Deutsche Bank in a note to clients this week.
For the last five sessions, all three major US stock indexes finished the day at new all-time record highs
Investors agree that the massive rally is built on strength in the ongoing gains in artificial intelligence stocks
The massive tech companies leading the AI revolution reported impressive revenue growth, massive profits and historic stock gains
‘We continue to see this as one of the best investment opportunities in a generation,’ Mahoney Asset Management CEO Ken Mahoney told the Daily Mail.
‘This is not a time to be contrarian or try to call the top or a market bubble,’ said Mahoney.
Over the last two months of the earnings season, the massive tech companies leading the AI revolution reported impressive revenue growth, massive profits and historic stock gains based on insatiable demand for servers and infrastructure.
Prominent market experts note that it feels like AI is the only thing working right now, which is single-handedly carrying the market higher.
Despite the current excitement, investment strategists warn that the market might be due for a breather as summer begins.
Trading activity often slows down during a “summer lull,” and lingering geopolitical tensions could keep things unpredictable.
While experts do not expect a major crash, they believe it makes sense for stocks to pause or pull back slightly in the coming months.
