>> The stock market hit an all time record high today.>> A DOW milestone Wednesday. The index pushing past the 22,000 mark, powered mostly by strong corporate earnings. Apple and Boeing, the major standouts. The DOW up 11% so far this year. But Wall Street's cheers,>>
>> May be drowning out the naysayers who see several warning signs flashing, including two few companies leading the charge.
Reuters markets editor, Dan Burns.>> First of all, the number of stocks making new 52 week lows on the NYSC and NASDAQ combined has risen every day since July 25th. And while we're seeing a number of stocks still making 52 week highs, the gap, the difference between that, has been narrowing.
And on NASDAQ today, actually, we're seeing a handful more stocks making new lows than new highs. That's never a really good signal for further gains.>> The Dow Industrials in particular are subject to a specific warning sign. A divergence with its sister index, the Dow Transports. The two generally move in tandem in a healthy market environment.
Not so right now.>> In mid-July, they were about the same, 7, 8, 9%. Dow's gone further up. Transports have lost almost all their gains, they're up less than 1% on the year. A divergence like that is frequently a warning sign that the market rally is running into some fatigue.
>> This set among the backdrop of an overall economy that's growing at the relatively sluggish rate of 2%. Plagued by, among other things, this year's slumping auto sales.>> Look at what contributes to economic growth, GDP, gross domestic product. The automotive production has actually been a net subtractor from growth for three quarters in a row now.
We don't usually see that without a recession following.>> And with the Federal Reserve set to raise interest rates again, investors may finally turn back to bonds and other products in search of profits, potentially denting the appeal of stocks.