There is something not quite right here. The FTSE is just sat off 5000 points, but yet we are in the midst of the worst economic crisis since the 1930s and the heaviest government intervention in private banking ever.
So I'm not suprised it is being called a fool's rally. The substance it has may be based on companies staying profitable after having made cutbacks, but they cannot do that every quarter - eventually you have to drive profits through sales.
The double dip recession is being talked of, and maybe it's now looking more likely. Also on the brighter side there is the idea that the economic news is over reported because we have so many news feed channels now - so the situation always feels worse than it is.
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