To: JAMES BORECKI who wrote (87310 ) 12/30/1998 8:17:00 AM From: Mohan Marette Read Replies (1) | Respond to of 176388
Wed, 30 Dec 1998, 8:14am EST Prudential's Acampora Sees Possible 11,500 Dow in 1999, on CNN JimB: The pundits have spoken,now we all can go back to sleep. ======================================== New York, Dec. 29 (Bloomberg) -- The U.S. stock market will experience ''a lot of bumps'' in 1999, yet end higher than this year, said Ralph Acampora, Prudential Securities Inc.'s director of technical research, on Cable News Network's ''Moneyline.'' Acampora, reiterating earlier comments, said ''we've got the elements of a higher market,'' with the Dow Jones Industrial Average reaching 9,900 by year end without much difficulty and possibly rising to 11,500. ''We have the worst behind us,'' Acampora said, referring to the July-to-October bear market. Acampora also said he expects the market to ''broaden,'' with mid-and small-capitalization companies seeing gains similar to ones experienced by the larger companies. Morningstar Inc. President and Chief Executive Don Phillips, also on the show, said the mutual-fund research company is starting to see some better returns from managers who focus on mid-sized and smaller companies. He said managers of small-cap stock funds who claim their holdings are ''so cheap relative to those of the S&P 500'' make a compelling argument. ''I think that in time the valuation disparity (between small and large company shares) will correct, and you will see greater performance'' from the smaller stocks, Phillips said. Acampora maintained next year will be a stock-pickers market. He recommended AT&T Corp., General Electric Co., Texas Instruments Inc., Barnes & Noble Inc. and Liposome Co. Acampora recommended that investors select a group of Internet companies, rather than individual ones, to protect against the industry's volatility. --------------------------------------------------------------------------------