Dell's Dip No Big Deal
By Aaron L. Task
Senior Writer
1/26/00 10:00 PM ET
Drinking In Dell
SAN FRANCISCO -- Like good times, good friends and (insert your favorite brand of suds here), some days on Wall Street lend themselves to easy analysis.
Today was not one of those days. In fact, it was a day when market players expressed frustration and/or confusion, sending many reaching for their favorite brand of suds (or scotch, or vodka, or gin, etc.).
Bonds and financial stocks improved, and breadth favored gainers, bringing cheers ("Here's to ya!") to traders. But, of course, technology stocks acted like someone who'd chased six beers and a few shots of tequila with a mimosa, two mind-erasers and a cosmopolitan. (As if Qualcomm's (QCOM:Nasdaq - news) cautious comments -- and 16.3% decline -- weren't enough to make people feel sick.)
All I can tell you is, amid the haze today, several market players said they expect a rally to emerge once the Federal Reserve meeting is "out of the way" next week. One trader said the talk -- however specious -- of a 50 basis-point rate hike is a "good" thing because "when everyone expects the worst, that sets us up for a good relief rally."
But such chatter came during Wednesday's session -- that is, before Dell's (DELL:Nasdaq - news) warning that its fourth-quarter earnings will not meet expectations.
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