Jim, re: RFMD and other chip stocks, Merrill is upgrading the lot today, where were they when RFMD was $20 not long ago? My guess is they were buying, building inventory, just like a car dealer>
""Merrill Lynch upgrading 11 chip sector stocks, believing that the worst of the downturn is behind us. Firm raises near-term rating to Buy from Neutral on ADI, LLTC, MXIM, and STM... Upped to Buy from Accumulate are RFMD, TSM, TXN, and UMC... MU goes to Accumulate from Neutral... Thinks combination of stabilizing earnings estimates, reduced capital spending and bottoming yr/yr change should allow semis to begin slowly outperforming over the next 6-12 months"".
As for the PMI and consumer confidence, evidently it doesn't matter to the street as long as Joe consumer keeps spending like a drunken sailor........
I have made friends at the corporate level at WMT over the years, and they tell me sales are up, partly due to the tax rebate checks.
The hangover will be ugly. |
