In this paper we will discuss about the US bull market occurred in the year of 2002. The market lasted for three years, which was a record since the Second World War. Both the NASADQ and S&P indexes witnessed an increase.
The Dow Jones industrial average also moved up. For these reasons, the stock newsletter writers got optimistic. US Bull Market occurred in 2002 and had been continuing for more than one year than the average period since the Second World War, that is it lasted up to 2005.
The US economy also moved up in the year of 2005 after being in the slum for a certain period. An increase in both the Nasdaq composite index and Standard & Poor’s 500-stock index supported the existence of a bull market strongly.
Earnings from the stocks also increased during that period, 2005 – 06. Therefore, the Federal government did not raise the interest rates further. The consumers’ confidence was high, but the oil prices got dropped, showed a possibility of a oil bear market.
As said earlier, both NASDAQ index and S&P 500 index increased by 1.6% and, surprisingly, the Dow Jones industrial average also increased by 1.5%.
This bull market made the stock newsletter writers optimistic. As a result, bullishness among the writers increased by 0.5% during the month of November, in 2005, than that of in October. The Investors Intelligence published these data.
Thus, the fear of a recession suddenly vanished from the market. The consumer spending increased a lot.