Thoughts {06.22.15}

Market melt-up on news that maybe Greece and the Euro-zone have pulled back from the brink.  Look people this was always going to be something that walked to the absolute edge.  News reports seem to indicate that maybe Greece blinked enough for the EU to save face and let the money flow once again.  Looks like the stealth default scenario is the one most likely to play out over the next few  months.  Then again the week has barely begun and nobody has actually seen what the Greeks proposed today.

In the "Things Are Getting Better" department:  "US home resales surged to a 5-1/2 year high in May as first-time buyers piled into the market, the latest indication that housing and overall economic activity were gathering steam in the second quarter."   Looks to me like perhaps all those Millennials leaving in their old bedrooms have decided things are looking up to the point that they now want to own a home.  My neighborhood is starting to see pretty good turnover in housing.  

They're a lot more young families around us now then in the past.  Also there's this on births:  "Women in the U.S. are having more babies....Preliminary data show that birth rates in the U.S. were up by 1 percent last year from 2013.  It's the first increase in seven years."  Babies are incredibly bullish for the economy.  Not only do they show a more optimistic assessment about the future by their new parents.  Babies and young kids need EVERYTHING.  Somebody has to supply all that stuff.  Somebody also has to work and pay taxes to afford all that stuff.

Go Read:  "When Ordinary Beats Extraordinary".  An article on the counter-intuitive nature of investing.  

Back Wednesday.