Shhhhh... the cat's out of the bag........everyone's a cynic!!
excerpted from: cboe.com
_________
Internet darlings such as Yahoo! (YHOO:Nasdaq), CMGI (CMGI:Nasdaq) and Amazon.com (AMZN:Nasdaq) also got spanked amid speculation many online and/or day traders are either too cowed to trade or unable to after having sustained steep losses in recent weeks.
"Margin calls are starting, nerves are on edge, and the individual investor is most likely under water in his/her account," Barry Hyman, senior market analyst at Ehrenkrantz King Nussbaum, wrote in a report today. "The conclusion can only be made that online accounts are dominated by speculative, momentum-driven traders. The casino atmosphere exists, and the house wins again. Let's extend those trading hours soon, so we can keep the casino open a little longer."
As for the bigger picture, "clearly we're being damaged by the Internet sector here; it's filtering through psychology," Hyman told TheStreet.com. "The Dow is being held up just by oils and cyclicals but any rally from here that is cyclical in nature will be short-lived" because any Fed tightening will slow the economy. |
