The Dow Jones Industrial Average closed above 14,000 this week.
This achievement was a big milestone for the bull market, yet no one seems to be celebrating too much. Some traders think the market will begin to cool off while others think the government will work with the Federal Reserve to continue pushing the economy and markets up.
For all the talk of the Great Recession, the Lost Decade of 2000 to 2010, and so forth the markets have done surprising well. The S&P 500 is up 37%, the Dow Jones is up 36%, and the Nasdaq is up 44% since the beginning of January 2010.
If you had funds invested in the market through a low cost index fund, you’ve probably done well. And that’s not even taking into consideration dollar cost averaging your investments into the market which would catch some of the lows along the way and drive your returns even higher.
Will the bull market continue? No one really knows and making drastic portfolio changes based on your gut is unwise.