Markets completely out of touch with reality

Irrational exhuberbance has again taken hold of the markets, in a repeat of the run up to the dot.com bust that was evident well before reality set in on Wall Street.

We have an economy which is stalled since the beginning of the year, budget busting trade deficits, gasoline prices at their highest levels ever (and heading higher), food costs soaring due either to higher fuel costs, or the exploding cost of corn being used to produce ethanol (or both), a housing market in deep retreat with prices poised to drop precipitously in formerly hot markets by year's end, a war which goes on and on, producing no positive results, but resulting in even higher death tolls the longer we "stay the course," yet the stock market and S&P keep gaining ground, setting new records on what's becoming an almost daily basis.

Why is this happening? I won't pretend to be an economist but, having followed this
crazed activity, I can only conclude that every move made by Corporate America to consolidate and, hence, provide less competition, with more layoffs, the markets applaud, regardless of how detrimental the short term gain is to the long term future of workers and our overall economy.

Is there no one in this equation who gives a damn about anything other than further lining their pockets at the expense of balanced budgets, reasonable competition, fair wages and an America which provides legitimate opportunity for all?

It wouldn't appear that way judging by the irrational exhuberance of markets, completely out of sync with the cold, hard facts the majority of Americans wrestle with every day.