A Fundamentally Sound Soap Box Day And Market

Wednesday is “Soap Box Day” right? It is now …

- Mitsubishi Motors Corp admitted to manipulating test data to overstate the fuel economy of 625,000 cars sold in Japan, knocking its shares down more than 15 percent and wiping $1.2 billion off its market value.

Volkswagen and now Mitsubishi. Frankly, I would like to see the corporate heads who approved these crimes go straight to jail, no passing Go and no collecting $200. Clearly, criminal activity that results in losses to shareholder value is a willful violation of the corporation’s fiduciary obligation, and that too is a crime. Yup, send these smarmy, arrogant crooks to jail.

- Existing home sales rose in all four regions last month, jumping 11.1 percent in the Northeast and accelerating 9.8 percent in the Midwest.

- In March, the Builder Application Index reached its highest level since its inception in 2012 and was more than 18 percent higher than one year ago.

Overall, the US housing market is strong, which is what happens when 95% of the working folks are working and wages are rising …  Now, onto stupidity. Glenn Beck, a renowned purveyor of idiocy is now a Hilltop Screamer preaching apocalypse – the Saudis are going to bankrupt America. Hey, it sells, right?  

- Investors should not be distracted by wild and misguided prophesies of Armageddon.

Stick with the fundamentals (see above) and you will make money, as money eventually sticks to the fundamentals (see below).

- If earnings continue to surprise on the upside, you could see people ... join the rally and that money from the sidelines will move into the market.