Overheard On The Street
Here’s what they’re saying at mid-day:
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Analyst, Shields & Co.: “A tradable rally might turn out to mean just
that they stop going down. There
are many obstacles in the way of a good rally, mainly the obstacle of overhead
sellers beginning at 3000 in the Nasdaq Composite and 600 in the Semiconductor
Index. And while the averages are
one thing, individual stocks have the same problem, plenty of potential (happy
to get out) sellers at prices not too far away.
Resistance levels are not typically overcome by a rush of buyers.
More often resistance levels are overcome because sellers already have
been accommodated.
As bad as the decline in the Nasdaq has been, we haven’t quite made it
to that “give up†phase.”
Paul Rabbitt, President, Rabbitt
Analytics.com: “The past few months have been the worst-performing months
for growth investing in a decade! As expected, low risk stocks with high
dividends, low betas, and high value have had their best performance in years.
We expect value investing to lead in 2001. Why? The growth/value investing cycle
usually lasts three to five years. Growth has led for seven years to an extreme that
resulted in the Internet stock mania. Now the pendulum has reversed and is swing
the other way.”
Brian Belski, Fundamental Market
Strategist, U.S. Bancorp, Piper Jaffray: “Yes, questions surrounding the
election, economy, and interest rates will once again spill over into another
week. Consider this question though: Did the market overly discount the
prospects of slowing earnings growth during its selloff the past few months. We
think it has, and the market showed select signs last week that it is beginning
to agree.”