Who says the Dow Jones Industrial Average has anything to do with the outlook for the housing market?

I am certainly skeptical, and get downright annoyed every time someone would refer to the DJIA result that day as a litmus test for some sort of national mood.

Yet people seem to be feeling a little better about things (the economy/housing) today than a few weeks ago. Here’s a chronology of cause and effect (DJIA rises and home sales rise) conveniently edited to make my point:

* DJIA jumps 400 points
* Stewart’s ‘Daily Show’ Chastises CNBC’s Cramer
* March Madness begins, lots of feel good upset stories
* Madoff goes to jail
* Friday the 13th occurs in 2 consecutive months
* The Obamas plant a vegetable garden
* AIG bonus money is partially recovered
* AIG becomes AIU which sounds like IOU
* House passes 90-Percent Tax on AIG Bonuses
* Geitner announces revised Treasury plan to positive reviews
* DJIA jumps nearly 500 points
* Existing-home sales post surprising 5.1% gain

First of all, this has been one heck of a busy news cycle and the path from DJIA to rising home sales is obvious.

Secondly, I need to splash some cold water on my face and get back to work.

Aside: we don’t need bipartisanship.