John Thoma : The latest Dow price is not really a record when accounting for inflation . Thoma : It 's good that the stock market is doing well , but it 's not a reliable predictor of economy . He says Federal Reserve 's policy of quantitative adjustment has contributed to Dow 's decline . But the real question remains : What does the Dow tells us about the future of the economy ? Thoma : General optimism has also helped push the stock market up .
John Thoma : The latest Dow price is not really a record when accounting for inflation . Thoma : It 's good that the stock market is doing well , but it 's not a reliable predictor of economy . He says Federal Reserve 's policy of quantitative adjustment has contributed to Dow 's decline . Thoma : General optimism has also helped push the stock market up .