Is recession over – Future of US Economy – July 2010?

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This week has been extra good for the market. Several big positives came into limelight:

1. $BP’s oil spill is finally seems to be getting close to fixed
2. $Apple recorded record earnings due to more than expected strong sales of iPad and early sales numbers for iPhone 4
3. $F, $MSFT all recorded awesome earnings

European bank’s stress test result come out today. Different investors have different views about these tests. Some think they are pointless and most of the banks will pass the test. Others tend to disagree and are actually contemplating the future of economy based on the stress test results.

Germany and UK both reported much better numbers than everyone had in mind. Check out this latest article which details out the earnings for major companies in the past week or so:

Stocks May extend rally this week

So in the wake of all this positive news, one has to wonder whether we are out of the cursed spell that brought all of us down since April. I sure hope so. Jobless claims continue to rise despite the awesome earnings reported by fortune 100 companies. However it is very important to understand that jobs are always created AFTER the market has turned around a good bit. Companies do not want to hire new people if there is too much uncertainity regarding where the economy is headed. So while it definitely helps to see green on my portfolio and it is also rewarding to know that people who are looking for jobs are able to find jobs to support their families and send their kids to school.

People are saying if somehow DOW can get back to 11,000 range, we can sit back and enjoy the ride all the way out to the promised land. Lets sit tight for trading session to see where we are headed