This summer has been much better for stock investors than the past two summers.
-Gary Thayer, chief macro strategist, Wells Fargo
This past week, the U.S. stock market failed once again to break above resistance around the 1425 level in the S&P 500. This suggests that investors are turning a bit cautious after the summer rally pushed the stock market up close the old highs of 2012, leaving the S&P 500 up nearly 12% for the year. This caution is coming at a time when the stock market is often seasonally weak because investors frequently refocus attention on lingering problems in September after the summer lull in trading activity.