The market never saw the dog days of summer in 2011, and plenty of Hamptons getaways were cancelled due to unforeseen global economic crises. Stocks bounced back in late August following an FDIC report saying the health of the nation's banks is actually improving. For the first time in nearly five years, the number of failing banks declined, moving from 888 "problem" institutions to 865. The results allowed for cautious optimism at the end of a shaky trading month.
There's good reason to be both optimistic and cautious as we ring in the New Year.
