Lots of Folks Are Out Explaining Why They're Still Bullish On Stocks

That seems to be causing some strategists to reassess their bullish stances, and re-justify buying stocks are these lofty levels.

For example, JPMorgan's Tom Lee is out with this note about why he's "still constructive."

We remain comfortable being "slow buyers of equities" even as the market remains close to all-time highs. Our constructive stance is supported by (i) improving economic visibility (Europe, stability in China, pent-up demand in the US); (ii) a re-rating of US equities towards a 16X-plus P/E (Fed support plus relative value vs. bonds); and (iii) FCF supports rising distribution rates (via buyback and/or dividends). Still, many investors remain perplexed by the contrast between equity market gains (S&P 500 is up 23% YTD) and less impressive earnings trends (2013 bottoms-up earnings have been revised down by 283bp YTD from the estimate on Jan 1st).

Greg Valliere of Potomac Research writes:

THE TRUMP CARD: The most bullish story of all comes from Washington, D.C., of all places . . . The Federal Reserve may not even begin its tapering of $85 billion in monthly asset purchases until its March policy session, former Vice Chairman Don Kohn said on our Potomac Current call yesterday.

He goes onto note that a fiscal crisis is now unlikely.

And earlier we mentioned this from Dan Greenhaus of BTIG:

Despite the doomsayers the worriers and those calling curtains on the rally, our clients continue to believe, as do we, the bias is to the upside for now. If the central bank stays accommodative and earnings keep doing what they're doing, why not?