Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Satyam Infoway Ltd-(Nasdaq:SIFY) -- Ignore unavailable to you. Want to Upgrade?

To: Mohan Marette who wrote (922)	2/28/2000 10:41:00 AM
From: Mohan Marette	Read Replies (1) \| Respond to of 1471

Goldman, Merrill see bargains in beaten-down market Monday February 28, 10:30 am Eastern Time NEW YORK, Feb 28 (Reuters) - Influential stock-market thinkers at two of Wall Street's biggest houses said Monday the recent pounding sustained in many non-technology sectors has created swaths of undervalued stocks. Abby Joseph Cohen, Goldman Sach's widely-watched stock strategist, said the Standard & Poor's 500 index has declined to the point of being undervalued by five percent. Including this morning's 24-point drop in the index to 1,331, the S&P 500 is off about 14 percent. Meanwhile, Merrill Lynch's Chief Economist Bruce Steinberg said in a research note titled ``Too Bearish?' that most non-technology stocks are undervalued, and that the stock market is discounting more of an economic slowdown than is likely occur. Cohen said in a note that recent stock price weakness "has brought the S&P 500 to undervaluation of about five percent. We estimated yearend 1999 fair value as 1,400, and continue to project the S&P 500 will reach 1,525 at yearend 2000. ``The 'good news' of strong economic growth has triggered fears of the 'bad news' of rising interest rates; these are already reflected in fixed income markets,' she said. Steinberg said, "Does a crackup lie down the road? We think not. The (Federal Reserve Bank) will continue to tighten (interest rates) until the economy moderates, but (Fed Chairman Alan) Greenspan says he doesn't want to 'slam on the brakes,' Steinberg said. ``Our view is that the markets are discounting a much sharper slowdown in growth and earnings momentum than will probably occur. While tech moves from record to record, the rest of the S&P 500 is down 19 percent since peaking last July, closing in on bear-market territory,' he added. biz.yahoo.com