Stockbee

Barry Ritholtz at The Big Picture muses about how something that should matter doesn't for the longest time . . . and then it suddenly does

I find it incredible that suddenly, the denial we have been living with for so long gets removed. The robust inflation has been denied, ignored for so long. Despite all the evidence, the price increases on ordinary goods, medical services, housing, insurance, all the while commodity prices run amuck has been overlooked, as if its irrelevant.

Then suddenly, it matters.

Meanwhile, we see Housing, the prime (domestic) driver of the economy for the past 4 years, rapidly cool -- and the market has yet to discover this as an issue. If the Housing slowdown continues, expect Consumer spending in Q3 to be very soft. Target showed revenue growth of 12%, but missed earnings estimates due to increased costs -- (but there's no inflation). Hey, we still have a full 6 months before we have to start thinking about Xmas spending yet -- that could be way off also, if present trends accelerate.

It may be too early to "officially" say the end of this cyclical Bull market is upon us, but the past few days is certainly a warning shot across the market's bow.