S&P 500 set to break 1,400

Stock futures point to a lower open with the S&P 500, which closed at 1,402 looking like it will break through 1,400 right off the open.  Although the durable goods number, which was reported this morning, up 3.4%, looks pretty good, future are down on renewed (again and again) concerns over Europe, economic growth, corporate profits, etc., etc.  The bottom line is that stocks at these levels are just too expensive on a valuation basis, and are therefore at risk of a significant correction.  I have trimmed positions on two occasions over the past week or so, and now hold about 75% cash.

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