The markets may be too optimistic. It looks like it'll be a pretty bad economic year.
Wall Street enjoys upbeat start to 2009NEW YORK (AP) -- Wall Street started the new year optimistically Friday as investors brushed off a weaker-than-expected report on manufacturing and sent stocks sharply higher. The Dow Jones industrials jumped about 170 points.
The market wasn't spooked by the Institute for Supply Management's report that its manufacturing activity index fell to the lowest level in 28 years in December. The Street's cool reaction extends a pattern that began to emerge after the market touched multiyear lows on Nov. 20.
Economic data have been terrible for months and investors have shown little surprise even as some readings fell well short of economists' already low expectations. During past recessions, the market has recovered ahead of the economy by growing numb to a stream of poor data and looking for signs that the downturn isn't worsening.
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