One of the things that struck me in reviewing the chart of the DJIA in the 20s ( was how closely the action from 1921-1927 mirrors the DJIA action these past six years. The other striking thing was the way the market in the 20s treaded water through the 1923-24 recession and actually rose more than 30% through the 1926-27 recession. (Granted, there were dips foretelling these recessions, but both dips were inconsequential with a vengeance.)

Mike Shedlock had what struck me as the best description of stock-market pricing in the current environment, as share prices surf along a seemingly endless rising tide of liquidity . He said the market doesn't discount anything - it simply reflects current investor attitudes toward risk.