This recovery, shallow and choppy as it may be, has developed a characteristic well beyond a wall of worry. Every day and every market move is accompanied by a narrative of impending crisis. The outline goes something like this: You have to be in the market. Its down? Holy cow, take profits ! Nothing happened? Good thing you're in, if you're not you better get in.
The enamel grinding hype promulgates a sensitivity to any gyration only Richter could love. The Fed, playing pacifier to the tweakers on the dance floor, tries to be open about its activities. The result is increased trepidation over their policies and elaborate interpretations of the mundane. Sleepy 2% growth has never been this scary.
Considering all the paranoia, participants should be well prepared when the inevitable change of cycle comes. Their caution overs them no succor, however, its the adrenaline surge that's craved. The tell tale sign that change is upon us will be when everyone finally calms down.