210 ordspråk av Ned Riley
Ned Riley
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I believe this is the beginning of a strong move higher.
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Clearly the retail numbers in general were just a shade above the consensus estimate. Ex-auto sales ... were right in line.
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It really does reflect the focus of American businesses on profitability because this is now substantially into this economic recovery and companies are still producing results that are substantially above long-term averages.
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The market is also still living with the legacy of the Fed's decision yesterday to raise rates, ... There are a number of people who feel the Fed should have paused, and should have considered the ramifications of Katrina and Rita.
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I think some buyers have actually been attracted to the fact that the market has been down so big (this week) even though there may be extensive damage as a result of Rita. Clearly people are concluding things will continue to go on and that the economy is resilient enough to take another blow,
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I think we're in a situation where until the storm's damage can really be assessed, which could be weeks, stocks are going to stay under pressure.
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The Enron hearings aren't going to help a lot.
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Today's sharp selloff shows that there were more bears on vacation in August than we thought, and they've come back nasty.
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Aside from the economic concerns, on the geopolitical front there's a little Iraq hangover from last week.
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The Enron fallout is going to continue, ... We haven't seen the end of it.
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There's skepticism out there. Companies are extremely cautious about giving a decent outlook. They've set a much lower level of expectation for the public and the analysts out there.
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The surprising improvements in the latest employment, manufacturing and durable goods data Wednesday, all leading indicators, put the ingredients in place for the market to maintain an upward bias.
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We took two steps forward last week and only 1 step back so far this week. So there is some comfort in that. Hopefully we'll get through this weekend without incident and that should give people some reassurance.
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The unemployment claims declined a little, so that calmed some nerves. We saw some short-covering (buying of shares sold short) yesterday (Wednesday) and we may see more of that today, but I think people are holding their breath a little for the labor report tomorrow (Friday).
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The recovery is still tepid. The market is reflecting that slowness.
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