Another day, another reach to a record high for the Dow at 17,138, similarly mimicked by the S&P 500 at 1981. It’s been an interesting run so far this year despite traditional indicators that funds should be flowing out of equities instead of the other way around.

Considering a short-lived cease fire in thefed chair yellen remarks Middle East, Ukrainian soldiers battling for positions and political shenanigans in Iraq, the past several weeks has surprisingly pushed stocks higher, not lower. This has led many to believe that a stock bubble is in the process of formation and the profit takers will hit the winning window.

At the same time, Treasury prices and mortgage bonds rose today after testimony from Fed Chair Janet Yellen who reaffirmed the Fed’s commitment to its dovish policies with no indications that raising the Federal Funds will come sooner rather than later yet she did mention that credit markets run the risk of overheating because of Fed policy but if the Producer Price Index is any indicator, and it typically is, there’s little risk of inflation on the horizon. At least for now. Printing substantial sums of money with the QE programs of various stripes can always be the harbinger of inflation, at least in the traditional sense. The items tallied in today’s inflation reports are nothing like those several years ago.

So far this week economic reports have come in as expected with no surprises. The Core PPI number came in at 0.2% which was forecast and a slight change from the previous month’s reading of 0.1%. The rest of the week should be relatively tame as well with perhaps the Housing Starts affecting the bond and stock markets, the rest of the reports are relatively benign as it relates to the impact on stock prices and bond yields.