The S&P/ASX 200 (Index: ^AJXO) (ASX: XJO) broke the psychologically important 6,000 point barrier today as a global share market rally powered by U.S. economic growth finally takes hold in Australia.
In fact it's been around 10 long years since the market closed above 6,000 points in 2008 just before the GFC took a wrecking ball to confidence and share market valuations.
In the time since Australia was only the major developed economy to avoid a recession (defined as two consecutive quarters of negative growth) thanks largely to the ballooning price of iron ore fuelled by a construction super-cycle in China.
However, the share prices of iron ore heavyweights like BHP Billiton Limited (ASX: BHP) Rio Tinto Limited (ASX: RIO) and Fortescue Metals Group Limited (ASX: FMG) are still flat or lower than levels printed 10 years ago. The commodity bear market over the past few years explaining why Australia is lagging the performance of other developed markets.
Today it was the big banks that tipped the index over 6,000 points, with the two largest of Commonwealth Bank of Australia (ASX: CBA), up 1%, and Westpac Banking Corp (ASX: WBC) up 0.3% doing some heavy lifting.
Given the big banks make up around a quarter of the index between them, it's fair to say they're a proxy for the performance of the wider index.
Still, some worry that after 3 years of flat growth the big banks may be the new Telstra Corporation Ltd (ASX: TLS), which is why you may be better off looking for your share market income elsewhere…..
