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Politics : Stockman Scott's Political Debate Porch -- Ignore unavailable to you. Want to Upgrade?

To: lurqer who wrote (29540)	10/4/2003 12:39:15 AM
From: lurqer	Read Replies (1) \| Respond to of 89467

10/03/03:"Market Monitor"-Doug Cliggott, President and Investment Strategist of B&P SUSIE GHARIB: Our market monitor guest this evening says he`s no longer a bear, but he`s not a bull either. Joining us now, Doug Cliggott, President and Investment Strategist of B&P Research. It`s the U.S. unit of a $3.5 billion Swedish hedge fund. Hi, Doug. Nice to see you. DOUGLAS CLIGGOTT, PRESIDENT & INVESTMENT STRATEGIST, B&R RESEARCH: Oh, thank you, Susie. It`s great to be here. GHARIB: You know, the last time when we talked, which was January, you were our first market monitor of the year. You were very bearish. But we`ve seen that the Dow and the NASDAQ and the S&P have all done rather well this year. And yet you`re still not bullish. So what`s your feeling on the markets? CLIGGOTT: Well, Susie, we think something very important happened late in the month of May. We had a lot of tax law changes. And to us, those tax law changes are largely responsible for the good stock performance this year. They really did two things. One, by lowering the rate of taxes on dividends and capital gains, essentially they forced the market to reprise stocks up relative to bonds. The other thing it did is it transferred a tremendous amount of money, as much as $200 billion, from the U.S. Treasury into households and corporate checking accounts. And we`ve been very eager to spend that money. And so we`ve had stronger growth than we expected early in the year. But unfortunately by the middle of next year, that growth spurt will fade and the second half of next year, I think, will be quite weak. GHARIB: And so even though there are forecasts for a really strong third and fourth quarter earnings, that`s not enough for you to turn more positive on the markets? CLIGGOTT: Well, Susie, those, I think, are the reason the market`s as high as it is. I think the market`s pretty good at discounting events six months ahead. I think what happened over the course of the summer is the market came to expect very strong earnings in the third quarter and in the fourth quarter. I think by the time we move into the winter months, the market will be looking ahead to next summer and that`s where our concerns are. We don`t think growth can be sustained at anything like the current rate. Maybe it can be strong through the winter, but by next summer or autumn, it could be back to something like two percent again. GHARIB: And yet you told me there are still opportunities to make money in the markets. And I know that you don`t single out specific stocks. But you can talk about sectors. When last time we talked, you liked energy stocks. What`s your view on that now? CLIGGOTT: We still like energy, Susie. Our view six months ago was that the commodity price would stay stubbornly high and that would be very good for the stocks. And that view hasn`t changed. So which think energy is still a pretty interesting place to be in the U.S. market. GHARIB: What segments of energy do you like? CLIGGOTT: We like integrated oils and we like utilities. And I think utilities are especially attractive because they generate a much larger share of earnings in their market capitalization as now. So I think utilities might be one of the best places to be in the U.S. market right now. GHARIB: You were keen on health care stocks the last time we talked. How about now? CLIGGOTT: Certain segments of health care still look good. We would favor services over the large pharmaceutical companies. I think the pharmaceutical companies have a lot of legislative issues. It`s very uncertain what will happen in terms of Medicare and really in terms of the government trying to be involved in pricing. GHARIB: Now, I know you`ve added defense stocks to your list of recommendations. A lot of people think that all the good that you can get on defense stocks has been already priced in. CLIGGOTT: That`s exactly -- GHARIB: Do you agree with that? CLIGGOTT: That`s why we like them, Susie. I think they were too expensive for our blood in the spring and summer. But as, I think, more and more brokers have gotten negative on them, they`ve come down quite a bit. And we think that provides an interesting opportunity. GHARIB: Now, I understand that you also favor European bonds and international stocks. Not American bonds, but European bonds. Is this an area that you think U.S. investors should start putting their money? CLIGGOTT: We sure do. And I think the theme here is twofold. One, the U.S. budget situation is bad and it`s probably going to get worse, the federal budget situation. That`s bad for bonds. Budgets in Europe are much more under control than they are in the United States. Second, we think the dollar is going to be going down versus European currencies. GHARIB: OK. CLIGGOTT: That really favors holders of -- dollar based holders of European bonds. GHARIB: OK. Doug, thank you very much for your thoughts. We appreciate it. CLIGGOTT: Thank you, Susie. It`s great to be here. GHARIB: We`ve been speaking with Doug Cliggott, President and Investment Strategist of B&P Research. Nightly Business Report transcripts are available on-line post broadcast. The program is transcribed by eMediaMillWorks. Updates may be posted at a later date. The views of our guests and commentators are their own and do not necessarily represent the views of Community Television Foundation of South Florida, Inc. Nightly Business Report, or WPBT. Information presented on Nightly Business Report is not and should not be considered as investment advice. Copyright (c) 2003 Community Television Foundation of South Florida, Inc. ALL RIGHTS RESERVED. from nbr.com lurqer

To: lurqer who wrote (29540)	10/4/2003 1:44:37 AM
From: Karen Lawrence	Read Replies (2) \| Respond to of 89467

Rush Limbaugh the bigot and now drug dealer is in trouble...maybe...Tough Times Rush Limbaugh Ends One Public Problem and Faces Another abcnews.go.com Oct. 3— Just after he resigned his ESPN gig because of comments he made about a black quarterback's performance, Rush Limbaugh could be facing the heat again. ABCNEWS has learned new details about his alleged ties to a black-market drug ring. A high-ranking official in Florida has told ABCNEWS some surprising details about the state's investigation of Rush Limbaugh. ABCNEWS has confirmed that radio mega-star Rush Limbaugh is being investigated for allegedly buying illegal prescription drugs near his Palm Beach, Fla., home. Palm Beach authorities had no official comment. "We don't comment on investigations," said Mike Edmondson, a spokesman for the Palm Beach County State Attorney's Office. But a source close to the investigation told ABCNEWS that Limbaugh's former housekeeper claims she helped Limbaugh purchase thousands of prescription painkillers over a four-year period — at times in the parking lot of a local Denny's restaurant. Among the drugs she says she purchased: the powerful painkiller OxyContin. The source also says investigators have audiotapes of at least two drug transactions — allegedly with Limbaugh's voice — but these were recorded secretly by the former housekeeper, not by police. Premiere Radio Networks, which syndicates the politically focused Rush Limbaugh Show to more than 650 markets, issued a statement from Limbaugh on Thursday saying: "I am unaware of any investigation by any authority involving me. No government representative has contacted me directly or indirectly. If my assistance is required, I will, of course, cooperate fully." If the allegations prove true, the talk show host will undoubtedly need to address some of his past comments about drug abuse. Back in 1995, Limbaugh told his audience on the syndicated Rush Limbaugh, The Television Show that people who are obtaining drugs illegally should be held responsible. "Drug use, some might say, is destroying this country. And so if people are violating the law by doing drugs, they ought to be accused and they ought to be convicted and they ought to be sent up," he said to his audience during the broadcast. Media Columnist Michael Wolff says Limbaugh's career might not be able to survive a drug charge. "It would be labeled as an instance of incredible hypocrisy … Mr. Family values, Mr. Tough on Crime," Wolff said. At risk for Limbaugh, not just his credibility, but a media empire that has earned his networks and stations more than a billion dollars since 1988. "If this is a felony we're talking about here, than this is the end of Rush Limbaugh. That's it," Wolff said. Limbaugh gave up his job as an ESPN sports analyst late Wednesday, three days after saying on the sports network's Sunday NFL Countdown that Philadelphia Eagles quarterback Donovan McNabb was overrated because the media wanted to see a black quarterback succeed. ABCNEWS' Bob Woodruff contributed to this report.