Overheard On The Street
Here’s what they’re saying at mid-day:
Brian Conroy, Head of Listed Trading,
J.P. Morgan: “It’s a relatively quiet day. The market is still absorbing
many of the pre-announcements that have taken place over the last two weeks.
It’s still looking for some type of direction. The encouraging sign is that the
bank index, which was down 1% yesterday morning, has turned around and is
up almost 3% from its lows yesterday. We’re still strugglingÂ
for leadership in the technology stocks, so until you get the financials and the
tech stocks working together, it doesn’t feel as though we are going to see any
powerful moves to the upside.”
Brian Belski, Fundamental Market
Strategist, U.S. Bancorp/Piper Jaffray “While we still believe that October
will likely be the “turn month” once again, we do not necessarily
believe that the market absolutely needs a capitulation or climactic bottom to
reverse its tide. First off, almost everyone else is looking for one to occur,
which makes it unlikely in our opinion. Secondly, it may come down to a swing
from extremes in terms of growth versus value. For instance, over the last six
years, there has never been as wide of a performance disparity between growth
and value stocks as the market is is displaying currently — in terms of weekly
and monthly prices.”
Tim Hayes, Global Equity Strategist, Ned
Davis Research: “I think the market is starting to show a little bit of a
sign that maybe the downside momentum is maybe giving out here. The market is
trying to stabilize and perhaps put in a bottom. We are expecting a market rally
into the election, and given that the put/call ratios are high and the market’s
gotten oversold, we should be in a pretty good situation now to put in a low,
especially with a lot of pre-announcements out of the way by now. So, we’re
pretty much looking for signs of support and that we don’t breakdown to new
lows.”