What a great rebound on Friday, led by semiconductor (SMH) stocks.

All factors finished in the green.

The S&P 500 (SPX) continues to trade in a narrow range – at some point, this will make a monumental move, which could be in either direction (although it is to the upside).

The move in the Dow Jones Transportation Average Index (TRAN) was the most underreported story last week. It is usually a harbinger of great things to come for the overall economy.

Too Bullish

Bank of America (BAC) thinks there is too much bullishness out there, but enthusiasm is a key ingredient to bull markets.

Moreover, there is so much to be enthusiastic about: the economy is picking up, the Artificial Intelligence (AI) Revolution is picking up, and corporate earnings have been amazing.

Today’s Session

Big news out of Japan with the massive victory for Takaichi after boldly calling for a snap election.

I know it could cause issues for our market, but it was a great choice for the people of Japan who had been lulled into two decades plus of slumber.

Our market is starting on unsteady legs as many of last week's issues continue to dominate conversations.