The 4 C’s To Turning The Stock Market Around

When thinking about what will be the catalyst for a market bottom, the 4 C’s come to mind: Credit, Confidence, Clarity, and Consumer.

Credit - The credit markets must continue to loosen for the market to move higher and help the financial sector bottom. Since the 4th quarter of 2008 the credit markets have been improving and I believe it will continue throughout 2009.

Confidence - The only time I want the government involved has to do with building confidence in the American taxpayers and investors. Right now the confidence in the new administration is falling and must pickup ASAP.

Clarity - Well maybe I want two things from the government, along with being the confidence builder, they must also give us clarity into what their economic plan really entails. As of now it is a jumbled mess.

Consumer - All of the above will lead to the revival of the consumer, that I feel will forget quickly about the rough 2008 and begin spending again once we establish the first three.

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