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Strategies & Market Trends : VOLTAIRE'S PORCH-MODERATED

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To: lurqer who wrote (3805)9/26/2000 5:55:24 PM
From: Sully-  Read Replies (1) of 65232
 
Hey lurqer.

Thanks for that excellent, well thought out post...... sobering if you are a bull......

"Actually I don't believe either the earnings or the warnings have been all that bad. However it's not the facts, but the psychology (i.e. not the earnings but the jitters) that affects the market"

I won't argue with you about how important psychology is. If the negative perception about earnings/hard landing persist, the market will struggle.... or worse test new lows..... on the other hand.....

We are in an election year..... the incumbents will likely be working hard to see the markets perform well...... money has been flowing into mutual funds lately...... boomers have a long term horizon & plenty of cash.... most boomers are looking to invest with an eye on superior long term performance..... that's equities me thinks..... earnings are still looking strong going forward in many segments of the economy, albeit YOY earnings comparisons will be against strong growth in the prior yr...... inflation has not made signs of overheating per the PPI/CPI..... money supply has been edging up since mid-April.....

The market climbs a wall of worry. I'll admit that I've got a cautious eye out for the bears to show up. I still see a bullish economy going forward. Hopefully, the psychology will change soon, perhaps with the assistance of the houses/analysts.

Still hope your bear scenario is wrong :-|

Ö¿Ö Tim@bull/bear/whowillwin.com
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