TCG,
RE. My read on market.
The market is driven by negative psychology which, in turn, has been fueled by partisan woes, election year agendas, the craziness 29-year old money managers and above all, the unexpected crumbling of hedge funds tied to "old money".
It was widely rumored that the last factor was what caused quality stocks like CSCO and ATI to cave in--kind of dipping into the war chest to raise $$$ for the final bailing-out.
As to the bottom, I think we are at IT. However, to get out from under--and quickly--we would need the following:
(1) A decisive credit ease by Greenspan (and no more talking)
(2) An integrated effort (or at least a strongly worded announcement) by G7/G22 to calm the jittery global nerves
(3) A clear decision point (either yes or no) by Congress re. President Clinton's fate.
(4) Earning surprises by large cap companies, especially the high techs and big money centers having exposure to overseas.
IMO, October is down the tubes, November will be clouded with tax selling, but toward X'mas, we should be okay.
Ibexx
PS: Lots of bargain, best shopping time in all my years as an investor. |
