Dow Industrials, S&P and Transports Close at All-Time Highs

U.S. equities closed sharply higher today with key averages hitting record highs.

The Dow Jones Industrial Average gained nearly 300 points. The Dow Transports, meanwhile, hit their first intraday high since 2014 and closed at an all-time high. Since Nov. 8, transports have risen more than 12 percent. The S&P 500  closed up 1.3 percent to a record high.

Expect the Federal Reserve to raise rates at their FOMC policy meeting scheduled for next week. A move directly the opposite of what Austrian-lites have been suggesting would occur since last December's Fed rate hike. The Lites expected a near immediate reversal of that hike and even suggested that the Fed might have to launch another round of quantitative easing and possibly take rates negative.

Nothing of the sort has occurred and it is extremely unlikely to occur anytime in the near future.

 -RW

UPDATE

This is not what a recession looks like.