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The market's rally has been driven by sentiment, and the fundamentals hadn't improved enough to justify the gains

During past rallies from extreme sell-offs, markets peaked when 70% of stocks had traded above their 50-day moving average, or the average stock price over a 50-day period. That number is now near 90%.

There is still too much debt on corporate balance sheets, with around $2 trillion, or 65%, coming due in the next four years. The new debt will be more expensive, so simply making interest payments will eat up more cash. Meanwhile, companies will find it difficult to boost revenue to make up the difference. To maintain profits, they'll need to lay off more workers.