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To: Jenne who wrote (23481)	8/5/1999 2:06:00 PM
From: RDR	Read Replies (1) \| Respond to of 27307

This is a classic SUCKER's Rally, BONDS are rallying while the data out indicates no reason in fact they should start to downward motion soon before the day ends. Tomorrow will be a carnage for the NET stocks if the rally continues and only the retail folks will get slaughtered... Read this... Sucker's Rally? Can't Tell By James J. Cramer 8/5/99 1:19 PM ET It's always hard to knock down the stock market when the bonds are rallying -- even if the bonds shouldn't be rallying. We didn't get any information that should lead to a bond rally today. If anything, the information was defamatory for bonds. But bonds rallied anyway. So we get a knee-jerk stock rally. We are buying on account of temporary bond insanity. The combination of oversold and good bonds is just too juicy to resist. For us, we scalp. We don't know what the employment number will be and we don't know how long the oversold condition will "protect" us from the downside. Last year we got much more oversold than we are this time around, but at that point we had Dr. Strangelove or How I Learned to Love Leverage. We don't have that now. But we donýt buy anything we would be unhappy about if it kept going down. Let me give you two examples. GM (GM:NYSE) is oversold and could rally on a good number, but I don't like the fundamentals, so I am not taking any. Anheuser-Busch (BUD:NYSE) is less oversold, but I like it and would welcome lower prices to buy more, so I am putting some on. I am avoiding small-cap like the plague, even though they are the most oversold because if I am wrong about the number tomorrow and the bonds get washed down the drain, I will get crushed. Can't afford that. Is this a sucker's rally? Beats me. Most of them start this way, with bad advance/decline, better NDX leadership and lots of negativity and short-covering. Because I just don't know if it is a sucker's rally I am making sure that what I buy is 1) liquid and 2) doing well in business. Regards,