. . .QUESTIONS. . . . [GreenLaw, This too has been covered: Message 14718547 .]
New topics:
1. Barrons says "no economic slowdown". . but the economy has clearly been showing signs of slowing, despite strong output. Will the FOMC move to a neutral stance Dec. 19th or Jan 30th?
2. And what about M2? Are the families of the Fed going to inject cash into the markets to add liquidity, like they tend to do each time this year? So far, there are signs that they are.
3. AOL/TWX merger. . . regulators giving their answer this week. [If they open their cable lines, they get the deal. . .if not, they may not.] This is a mega merger of the internet and traditional media. . .which could change the face of entertainment/media companies forever. Could the go ahead fuel a new mania in the beaten down internet sector?
4. Will we get a Santa Claus Rally this week? And if so, which stocks should gain most from it? I am betting it will NOT be the toy sector. . . but rather the Electronics Retailers, like BBY & CC. But I am hedging with Wal-Mart. . . the store that can do no wrong. . .and is the pulse of the American consumer [believe it or not].
Sidebar: I never stepped foot inside a Wal-Mart until I began to support 4 kids in the mid-90's. If you have never been in one, just step inside a Super Wal-Mart at any time of the day or night and count the active cashiers. The number is probably somewhere between 20 and 40!
5. Last December was driven totally by the Individual Investor. . . remember the Holidility that led us to the market highs of December 31st? But this year, the Individual Investor is maimed. And unless we get a mania of sorts to kick start participation, much of the upward movement has been WITHOUT many Individual Investors. If this trend remains, I expect December to be akin to the Summer Bear. . .slowly drifting lower on weak volume. Will Individual Investors get back in the drivers seat by then? And if not, when? When is the next time that WE will be back in control of the markets?
6. And along the same lines. . .Will Mutual Funds begin to see greater inflows, due to the hesitation by the Individual Investor toward directing their own portfolios? And if we believe this, then is it not in our best interest to accurately follow this money?
What will the weather be like this winter? And will oil prices continue to drop? Or could we have an energy crises?
Thanks all. . . I believe this is an important time to be looking down the road a ways to see where we may be headed.
Rande Is |
