Last Christmas, I gave you my heart
But the very next day, you gave it away
This year, to save me from tears
I'll give it to someone specialOnce bitten and twice shy
I keep my distance but you still catch my eye
Tell me baby do you recognize me?
Well it's been a year, it doesn't surprise meNow I know what a fool I've been.
But if you kissed me now
I know you'd fool me again.
As you can see from last year's S&P 500 chart, we had a fantastic 3-month rally leading into Christmas and New Year's, when the index was up 180 points but, as you may remember, the 6 weeks after that SUCKED and the S&P fell 225 points, from 2,075 all the way back to 1,850 in mid-February:
Sure we recovered. In fact, we just had a rally from 2,150 on October 1st all the way to 2,275 and that's 75 whole points – almost half of last year's rally yet last year's rally wasn't called the Obama rally, for some reason, even though it was 140% bigger than the rally we're having now. The difference is, this "rally" began with a a blow-off bottom and that made is FEEL like it was a bigger rally than it actually is: