Overheard On The Street
Here’s what they’re saying at mid-day:
Adam Weisman, Managing Director, Wit
Soundview: “Most people are focused on the Cisco report that comes out
tonight. It’s clearly a bellwether for the technology group in general. They do
business with many spectrums across the tech sector, and I think people are
really focused on what their guidance is going to be going forward. Today it
certainly appears that people want to own the stock going into the number. I’ve
spoken to a handful of market participants who seem to feel that most of the
potential news that will come forth on the conference call, they feel is kind of
baked into the stock, so they’re willing to take a shot before the number.”
Tony Cecin, Director of Equity Trading,
U.S. Bancorp/Piper Jaffray: “I think the market’s going to be in a little
bit of a trading range here, certainly going toward whatever might happen
relative to the next rate cut. There’s no question the market is wanting another
rate cut, but whether the market gets a surprise rate cut or not before the next
meeting in March is going to be sort of the platform question. Simplistically speaking,
the market’s going to want rate cuts until it’s obvious it doesn’t need them
anymore. The question now is whether Greenspan does something in February, and
otherwise we will probably mark time in without any clear-cut direction.”
Paul Rabbitt, President,
RabbittAnalytics.com: “Momentum
is strongest in finance and retail.
Earnings revisions are best in energy, services, utilities, and health.
Value is best in basic industries, durables (homes and autos), and
retail.
Our combo
sector model has been unchanged since early November.
It remains underweighted in technology.
We are overweighted in just two sectors:
energy and health.”