Will Stocks Revisit 9/11 Lows?

Many already have and more will do so--but then they will turn. Here's how to position yourself

This isn't how it's supposed to work. The recession is over, so stocks should be going up. After every recession dating back to World War II, the S&P 500 has notched a double-digit gain in the ensuing year, with increases ranging from 11% to 37%. Nothing so upbeat seems to be happening today. The recession probably ended in December, but stocks have been sinking so persistently that many are approaching their post-9/11 lows.

The stock slide isn't so much about the economy, which grew at a heady though unsustainable 5.8% annualized rate in the first quarter. It's more a reflection of...

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