All the economic data in the US point to economic recovery this year. Even though the January non-farm payroll was distorted by the snow storm in the Northeast, the private sector still added 50k workers. With the storm, the nonfarm payroll would have been higher. The January ISM was at 60.8, the highest since May 2004. With the Fed still providing quantitative easing, the economy will sustain the growth in the near future.
Investing is never easy and the stock market will be very volatile because of the fear and greed associated with investing and trading. In the short term, any market pullback will be good buying opportunity in the good economic growth environment and money easing situation.
If the January performance is any indication, the SP500 should perform very well this year.
