Golden times for equity investors

With strong earnings, growing economy and low interest rates, many expect bull market to go on

TWO decades ago the notion of a Goldilocks economy was very much in vogue. It was a snappy way of saying that the economy was growing at a nice, steady pace - fast enough to create jobs but not so rapidly that it would lead to runaway inflation. As Robert Reich, then the secretary of labor, put it in 1995, the US at that moment was enjoying a Goldilocks recovery that was "not too hot, not too cold". Wall Street loved that formula, and the stock market boomed.

Much the same could have been said these days, although Goldilocks hasn't been invoked all that often to describe the recent environment. That may be because the Federal Reserve has been such a commanding presence that it has overshadowed...

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