. DJ MARKET TALK: Don't Count Out Irrational Unexuberance
9:01 (Dow Jones) The worst may not be over, one investment
strategist says. The Nasdaq Composite Index "may go to similar
excesses on the downside as it did on the upside," said Elizabeth
Mackay, chief market strategist with Bear Stearns. Because of this, it
might be best to tuck into small-cap stocks for a while, said Mackay,
whose recommendations include Anchor Gaming (SLOT), Dress Barn (DBRN)
and Hain Celestial Group (HAIN). (KJT)
8:57 (Dow Jones) This may not be a good sign for other metals
stocks. Lehman note on Alcoa (AA) is headlined "Very Difficult
Conditions Continue - Trimming Estimates." The note begins, however,
by saying Alcoa remains Lehman's favorite stock in group. Jan.
aluminum orders fell 17% from a year earlier, on the heels of a 23%
drop in December. Assuming more normal economic conditions next year.
Lehman says AA can earn $2.85 a share. Price target still $45. (TG)
8:47 (Dow Jones) It's not exactly the Conference Board's Consumer
Confidence report, but maybe it's encouraging nonetheless. The Index
of Investor Optimism, from PaineWebber and Gallup, held steady in
February. Optimism over economic growth and unemployment did hit an
all-time low, but investors voiced confidence in the government's
budget policies and its ability to handle tax incentives for savings
and investments. And investors are fairly rosy on the outlook for
short-term returns, which held steady at 10.8%. (TG |
