On October 9th, 2007 the Dow Jones reached an all-time high of 14,165 amid the meeting of the Fed announcing a big rate cut. This is a quote from an article published by CNNMoney at the end of the day on 10/9/07. “Investors were a little cautious leading into the minutes (of the Fed meeting) but once they saw that there was nothing particularly surprising in the minutes, they redoubled their efforts to move stocks higher.” Remember, this was the highest day, ever, up to that point. The next day the market started a 17 month march to a low of 6,547 on March 9th, 2009. On 3/9/2009 CNNMoney reported this; "Valuations are reasonably attractive outside of financials, but most investors are in defensive mode," said Thomas Nyheim, portfolio manager at Christiana Bank & Trust Company. "They've seen too many losses and are sitting on the sidelines." Remember again, when the Dow Jones was at 14,165 people were in a great mood and they were buying stocks like crazy, and when it was at 6,547 nobody wanted anything to do with the stock market. In a nutshell, that is the wisdom of the crowd!