Is This the Turn?

Monday, October 13th saw a gain of 936 points, the greatest one-day point gain in the history of the DJIA. It was also the 5th largest percentage gain for the DJIA at 11.08%. The other four historic double-digit gains were back in 1929-1933. As a matter of fact, the next largest gain was on October 21, 1932 and was followed by a decline that took the DJIA down to 33 points and a bottom in February 1933. The point is that double-digit gains have been characteristic of bear markets. You need to have patience in this market. My personal belief is that the bond markets need to see interest move downward before a real economic change is possible.