I guess the market is predicting a bounce back in the US tonight...

I guess the market is predicting a bounce back in the US tonight with the belief in sufficient continued stimulus and Facebook's big increase in revenue.

But it does seem to be running on weak support. US profits are based on cost cutting, while the underlying economic figures are weak. Maybe it's a situation of the stock market no longer reflecting the strength of the economy? It seems to be just reflecting improved bottom lines. Or maybe the market reckons tapering will boost the economy and that will increase incomes and join with cost cutting to increase profits further?