Think the turmoil in Greece will be the catalyst for a big stock market correction? Or do you simply believe that valuations are too lofty and can’t be supported by the economy and corporate top line sales growth?
 
Think again. As a follow-up to my May 27 video and blog, 6 Linchpins of the Aging Bull, I am diving into fresh fundamental data with the help of Gene Epstein of Barron’s to show why the economy is due for a big and sustained rebound into 2016.
 
And that’s why you want to be a buyer of these dips in July ahead of earnings season. What are the six ingredients of 3%+ GDP growth? Borrowing from Mr. Epstein, I highlight his "six top reasons for believing that annualized economic growth has rebounded to 3.5% in the April-June quarter, from 0.2% in the first, and that growth over the next few calendar quarters also should average 3.5%."
 
1)      Shopping is back. Consumer spending surged 0.9% in May.
2)      Personal income is picking up, helping to boost consumer spending.
3)      Household wealth is surging, boosting consumption via the wealth effect.
4)      Housing is poised to act as a powerful tail wind on the economic expansion.
5)      Small business feels more confident.
6)      With housing and consumption on the rise, increased capital investment can’t be far behind.
 
You can read his detailed explanations of each point in his June 27 piece GDP On Track for 3.5% Growth.
 

Forget Greece. And also watch my May 27 video to see why this bull isn’t done running. Both of which mean you want to have your summer shopping list ready for stock bargains in July.