To all: Blooper of the Week
I guess we didn't realize just how much SUNW's management is narrowing down to focus on its only real core competency. Plus they got the fiscal year wrong, but that's minor. New grad. (I know it's dull but keep reading till you get to the punch line.)
--QS
Headline: WALL ST WEEK AHEAD - Earnings seen lulling market
By Elizabeth Lazarowitz NEW YORK, April 9 (Reuters)
Wall Street's anticipation of a dose of positive earnings data this week should be just the tonic U.S. investors need to keep them betting on tech stocks despite last week's turmoil.
But interest rate jitters may temper the market's mood, with two key inflation reports on the calendar and Federal Reserve Chairman Alan Greenspan scheduled to testify about securities market regulation before the Senate.
A dearth of negative earnings pre-announcements and a high-energy, low-inflation U.S. economy have bolstered investor's optimism about first-quarter corporate results.
"Earnings are clearly going to be dominant force that will drive the liquidity in the market," said Ned Riley, chief investment strategist at State Street Global Investors. "The tech-oholics are going to dominate short-term and use quarterly earnings as their primary support mechanism."
High-tech shares took a stomach-churning turn last Tuesday, when the technology-heavy Nasdaq index (INDEX:$COMPX) plummeted some 500 points, then bounced back nearly as quickly as investors snapped up bargains. The Nasdaq ended the week down about 3 percent.
Wall Street will have a wary eye trained on some major technology companies, which are set to announce first-quarter results in the coming week, market analysts said.
Wireless technology company Motorola Inc. (NYSE:MOT) and computer maker Gateway Inc.(NYSE:GTW) will release their corporate report cards for the first quarter, followed later in the week by Unisys Corp. (NYSE:UIS), a provider of information services, software and customer support.
Sun Microsystems Inc. (NASDAQ:SUNW), the world's No. 1 computer disk-driver maker, will announce its earnings for the third quarter of 1999.
"Now that a lot of these stocks that have flown up have been hammered a little bit, you might even get a positive reaction to the earnings numbers," said Roy Blumberg, money manager at Sheer Asset Management.
. . . |
