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Strategies & Market Trends : Bear!

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To: Ming who wrote (134)7/12/1998 9:53:00 AM
From: Les H  Read Replies (1) of 270
 
Market indices don't always track the market. That's why someone
termed the coin "divergences". There's also a significant number of mergers and acquisitions and spinoff of assets (as in Ford, GM, and a host of other companies) which caused some stocks to be kept up. Taking those stocks out as I did in my surrogate indices, the correction was deeper than the market indices indicated and the indices haven't quite made it back to their highs yet. There were 12 stocks in the S&P 500 affected by the above, all large cap. As for market sector rotation, that's not isolated to the current market. That's been the case always with the market except after an extended bear market when everything goes up. There is always a bull market somewhere, and always a bear market somewhere.
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