I guess Fundies are expecting more bull market:
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Sunday November 25, 10:32 am Eastern Time
RPT Wall St Wk Ahead-Stocks may rise on momentum of hope
Repeating column that ran late Friday
By Denise Duclaux
NEW YORK, Nov 25 (Reuters) - Stocks may float higher this week as investors' expectations for an economic rebound next year keep feeding a steady run-up on Wall Street.
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``Psychology is now on the mend and it's going to be easier for the market to go up than down,'' said Al Kugel, senior investment strategist at Stein Roe & Farnham, which is part of the $70 billion Liberty Funds Group. ``We will have profit-taking bouts, but I think the trend is up and probably will continue for the rest of the year.''
Headway in the war in Afghanistan and hopes for an economic bounce in 2002 have driven the market higher in the face of dwindling corporate profits and a looming recession. Investors are betting the Federal Reserve's string of interest-rate cuts and government plans for a fat stimulus package will nurse the economy back to health.
The technology-packed Nasdaq Composite Index has surged almost 34 percent, the broad Standard & Poor's 500 index is up more than 19 percent and the blue-chip Dow Jones industrial average has jumped almost 21 percent since hitting Sept. 21 lows in the wake of the attacks on the World Trade Center and the Pentagon.
``This is not the time to be bearish. If anything, the economy has demonstrated in the last few weeks its resiliency,'' said Stanley Nabi, managing director of Credit Suisse Asset Management, which oversees about $100 billion.
The market's resilience may be tested this week by data on consumer confidence, durable goods and and third-quarter economic growth. Even if the numbers disappoint, investors are expected to keep their sights on the prospect for recovery next year.
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