An Optimistic Note

June 29, 2001
Marc Dupee

A concoction of favorable corporate, economic and legal
news is setting stocks up to finish the week, quarter and mid-point of 2001 on
an up note.

The Nasdaq is up 54.07 at 2179.53, the Dow is up 18.99 at
10,585, and the S&P 500 is up 10.43 at 1236.72.

The broad market is seeking higher ground after the
Federal Reserve cut interest rates for a sixth time this year to 3.75%. The .25%
cut was the smallest this year and is working to give the impression that the
Fed believes the economic slowdown may be winding to a halt.

Economic reports out today are helping to confirm that
impression. The Chicago Purchasing Managers report came in stronger than
expected, indicating manufacturing is making a turn around.

The University of Michigan’s consumer sentiment report
also rose, suggesting consumers will continue spending in coming months.
Consumer spending accounts for about two-thirds of economic activity.

Tech stocks are rallying for a fifth consecutive session
after a favorable ruling yesterday from a US Appeals court that remanded the
Microsoft
(
MSFT |
Quote |
Chart |
News |
PowerRating) antitrust case back to a lower court and removed the
presiding judge. Microsoft is still charged with running a monopoly and is down
.40 at 72.35 after trade in the stock was halted yesterday.

An Optimistic Note

BUY THE FEAR, SELL THE GREED

Quick Links

Company Info

Contact

Company Resources