......."Stocks Soar on Hopes for Fed Rate Cut"
"Stocks Soar on Hopes for Fed Rate Cut," see http://www.nytimes.com/2008/10/29/business/29markets.html. Part of the article is below.
"On a day when a consumer confidence report that showed Americans were more pessimistic about the economy in October than at anytime in 41 years, the Dow Jones industrial average rose 889.35 points, or 10.8 percent, to 9,065.12, closing above 9,000 for the first time in a week.
The broader Standard & Poor’s 500-stock index was 10.79 percent or 91.59 points higher, and the technology-heavy Nasdaq was up 9.53 percent or 143.57 points.
Stock analysts struggled to make sense of the gains. Some attributed it to investors finally deciding to grab stocks at bargain prices, but others warned not to make too much of the rally — even one of almost 900 points — during a volatile month that has frequently seen steep gains and losses.
“To put this in perspective, we are still almost 22 percent down for the month, which is the worst month since 1940,” said Howard Silverblatt, a senior index analyst at Standard & Poor’s. The gains, he said, come amid a month of record sell-offs in global markets and continued signs of a slowdown.
Despite Tuesday’s gains, the Nasdaq was on track for its biggest monthly drop since 2001. The S.&P. remained 35 percent down for the year.
“To say today is a turning point is no more than to say yesterday was the beginning of the end,” Mr. Silverblatt said. “I could make either argument, and I don’t believe either of them.”
Richard Sparks, an analyst at Schaeffer’s Investment Research, said, “The market is going to have to do a lot more to impress me.”
“We’ve seen these big rallies before,” Mr. Sparks said, “including the 900-point rally after the Oct. 10 drop, and they dissipated pretty quickly. I think this is a significant bounce in an overall down trend.”"
.......http://www.JoeFRocks.com/
"On a day when a consumer confidence report that showed Americans were more pessimistic about the economy in October than at anytime in 41 years, the Dow Jones industrial average rose 889.35 points, or 10.8 percent, to 9,065.12, closing above 9,000 for the first time in a week.
The broader Standard & Poor’s 500-stock index was 10.79 percent or 91.59 points higher, and the technology-heavy Nasdaq was up 9.53 percent or 143.57 points.
Stock analysts struggled to make sense of the gains. Some attributed it to investors finally deciding to grab stocks at bargain prices, but others warned not to make too much of the rally — even one of almost 900 points — during a volatile month that has frequently seen steep gains and losses.
“To put this in perspective, we are still almost 22 percent down for the month, which is the worst month since 1940,” said Howard Silverblatt, a senior index analyst at Standard & Poor’s. The gains, he said, come amid a month of record sell-offs in global markets and continued signs of a slowdown.
Despite Tuesday’s gains, the Nasdaq was on track for its biggest monthly drop since 2001. The S.&P. remained 35 percent down for the year.
“To say today is a turning point is no more than to say yesterday was the beginning of the end,” Mr. Silverblatt said. “I could make either argument, and I don’t believe either of them.”
Richard Sparks, an analyst at Schaeffer’s Investment Research, said, “The market is going to have to do a lot more to impress me.”
“We’ve seen these big rallies before,” Mr. Sparks said, “including the 900-point rally after the Oct. 10 drop, and they dissipated pretty quickly. I think this is a significant bounce in an overall down trend.”"
.......http://www.JoeFRocks.com/
posted by Joe Ferrazzano at
3:19 PM
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