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Strategies & Market Trends : Zeev's Turnips - No Politics -- Ignore unavailable to you. Want to Upgrade?

To: limtex who wrote (36108)	3/2/2002 12:37:35 PM
From: dpstark	Read Replies (1) \| Respond to of 99280

limtex- "ZH - It will if there is truly a recovery underway. Seems to me that there is. There are however quite a few hedge funds and shorts out there that continue to believe that the market is in a downtrnd. They need to be disabused of this and as their negative influence wanes the market will recover in sync with the economy." With the dow within about 10% of an all-time high and assuming nazdaq 5000 was a bit of a bubble I am wondering what level you believe the markets are going to recover to? What is a reasonable price to pay say MSFT, BRCM, AMAT, CSCO, etc. Those stocks were just off the top of my head so feel free to use other examples if you like, I am just wondering where this market recovery is supposed to lead us. Cheers, Stark

To: limtex who wrote (36108)	3/2/2002 12:58:18 PM
From: Zeev Hed	Read Replies (2) \| Respond to of 99280

From March 2000 to March 2001, the economy was expanding at a rate faster than what the expectation for the current recovery is, why did the market go down? According to some people, the recession started in March 2001 (I still disagree on that point with the "standard bearers"), why did we get a powerful 40% plus spring rally thereafter? Why would you then be surprised that a rising economy might be associated with falling stock prices, particularly if those prices are "pricing in" huge profits. Last, some people, including me, believe that we have not yet had the recession (we had a single quarter of negative growth in GDP, the third Q of 2001), and the real recession late this year or early next year, has not been discounted yet by the market. Zeev