DJIA: 34,500
So far September is living up to its reputation – it’s the year’s worst month. A bit of a surprise given last week’s positive action, and this September actually has a couple positive aspects. A down August is often followed by a good September and pre-election years also favors more positive outcomes. Try though you might, it’s hard not to think it’s Tech’s world. Everyone couldn’t wait for the pullback in Nvidia (462), and now what? Apple (178) is “own it don’t trade it” until China bans the iPhone. The market is in another little correction phase, and as always and forever – news follows price. Need now is for the market to start ignoring some bad news, like Apple’s and rates, and to get back to a pattern of positive A/Ds. Meanwhile, Tech is just fine when it comes to what we call “retro Tech” like IBM (148), Oracle (125), Cisco (57), and best of all recently, Dell (69).
Frank D. Gretz
PLEASE NOTE: Unless otherwise stated, the firm and any affiliated person or entity 1) either does not own any, or owns less than 1%, of the outstanding shares of any public company mentioned, 2) does not receive, and has not within the past 12 months received, investment banking compensation or other compensation from any public company mentioned, and 3) does not expect within the next three months to receive investment banking compensation or other compensation from any public company mentioned. The firm does not currently make markets in any public securities.
