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To: Softechie who wrote (1130)	4/19/2001 12:29:19 AM
From: Softechie	Read Replies (1) \| Respond to of 2155

DJ US Bancorp's Nicoski Sees Signs Of Market Bottom 18 Apr 12:50 By James Covert Of DOW JONES NEWSWIRES NEW YORK (Dow Jones)--The Federal Reserve's surprise rate cut on Wednesday was an encouraging sign for the markets, but lately there have been plenty of other reasons for optimism, said Edward Nicoski, chief market strategist at U.S. Bancorp Piper Jaffray. The market has weathered bad news from major technology companies, including a profit warning from Cisco Systems Inc. (CSCO) and lowered earnings expectations from Yahoo! Inc. (YHOO). Hosts of other computer companies have also lowered their net estimates for the year over the past few weeks. "I think the market has been acting pretty decently in recent weeks," said Nicoski. "The news at this juncture is that investors are willing to look beyond the bad news. That is what you want to see in a bottom." Nicoski sees reason for optimism across most major sectors of the U.S. markets, including energy, financials, industrials and consumer cyclicals. The Fed's intermeeting, 50-basis-point cut to its federal funds rate shows a recognition that for manufacturers "earnings are soft and visibility is almost negligible," Nicoski said. "And the Fed doesn't really need to worry about inflation." Nicoski is also optimistic that the big, surprise move isn't necessarily the Fed's last. "I'm not concerned that the Fed is finished now," he said. "We have to see that things have picked up. The U.S. could still repeat some of the problems Japan had when their bubble burst in 1989-1900." The Nikkei Index was down more than 60% when the Asian financial crisis began, he notes, and major U.S. stock indexes still haven't recovered from their dramatic losses. "The Fed is going to do everything it can to help the situation," Nicoski said. -By James Covert, Dow Jones Newswires; 201-938-5360; james.covert@dowjones.com (END) DOW JONES NEWS 04-18-01 12:50 PM