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Non-Tech : Bill Wexler's Trading Cabana -- Ignore unavailable to you. Want to Upgrade?

To: Bill Wexler who wrote (579)	5/3/2005 6:43:18 PM
From: RockyBalboa	Read Replies (1) \| Respond to of 6370

:-) a gamblers market, i agree. I bet after a time it could rallye but that could take until autumn; many stocks with decent earnings are not going up because selling is so prevalent these days; but i put them on a shortlist to buy when the dust settles. Techs are really treated like radioactive waste; for example the fall of Microstrategy way below 50 surprised me (not that it happened but the large drop), they had decent earnings but were a bit light on revenues; that tanked the tiny stock $14 in one day. Some homebuilders continue to surprise me; on particular those ones which even reported lower orders for the ongoing quarters yet failed to sink. Two things are a bit odd indeed. Much of this years action resembles 2000 (including the fade in Summer 2004, Summer 1999 and a half hearted run in autumn and winter) plus a relentless selling in months (January, April) when definitely not on the game plan. The treasury conundrum: Todays Treasury levels (4.18%; 4.50%) even after the rate hike don't imply that people take the money out and put it back into stocks. This is a very flat curve; something i only remember from Japan in the dull years. One has to ask about the sanity of treasury investors given that the refinancing needs by the treasury are not going away magically. Overnight money likely at 4% by the end of the year and the 10 years pay less than 4.25% it is about time that Alan Greenspan comes out and discusses the mispricing of treasuries like he did in February. Behind the curve or not; at the behest of ??? the fed statement is amended one hour and a half after the official release to reflect the moderate stance "Longer-term inflation expectations remain well contained," reads the sentence added to the second paragraph of the FOMC statement." Which saved the day for the bonds.