| Mike_Platini |
If I am not wrong, some of the MDX's fellows have lost their job recently. Most of them in the technology sector.
However, the recent financial results of several tech giants as IBM, Microsoft, Intel and Texas Instrument did surprise the market. Intel even forecasts a 4% rise in the current quarter. The demand is cleary coming back.
On the network side, Juniper (Nasdaq: JNPR) also beat the market on a positive note, so did the Foundry Networks. I would expect the same from Cisco. Between others, the need for a migration from the legacy network to the VoIP network would trigger the demand on the field...
Also, the quick war with Iraq would certainly help. Since the beginning of the stock market, every time a war finished, the stock market was going up (except the Vietnam war as the stock market did take nearly a year to start its uptrend).
Being said that, I don't mean that you would find a job tomorrow. However, we start to see light at the end of the tunnel.
Good luck to all.
http://money.cnn.com/2003/04/16/com...idask/index.htm |
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| jswift2000 |
| I was warching CNBC this morning at the train station and a rep from Cisco said when the recovery happens it will happen rapidly. Everyones fingers are crossed. |
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| DevExpert |
Correct, but what you have to keep in mind is that they did meet or beat the revised earnings expectations which have been lowered to account for slowdown… I hope that recovery is on the way but as it looks right now if we do not see any improvements by September you can write-off this year for recovery and look to 2004…
quote:
However, the recent financial results of several tech giants as IBM, Microsoft, Intel and Texas Instrument did surprise the market. Intel even forecasts a 4% rise in the current quarter.
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| mdxxxx |
quote:
Originally posted by DevExpert
Correct, but what you have to keep in mind is that they did meet or beat the revised earnings expectations which have been lowered to account for slowdown… I hope that recovery is on the way but as it looks right now if we do not see any improvements by September you can write-off this year for recovery and look to 2004…
My thoughts exactly...:4: |
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| Mike_Platini |
What do you mean by saying "improvements" ? In stock markets or in Economy ?
Usually, the stock market starts to go uptrend roughly 6 months before the economy starts to bounce back. Til now, the October low of last year has not been reached yet, and that both for the Dow and Nasdaq. The markets seem to be stable... Going down each time with very low volumes is cleary not a bad sign...
I agreed with you that these companies did meet or beat the revised earnings expectations. However, most of the earnings (sales and in most of the cases net incomes) of the quarter this year are higher than that of the same quarter of last year. IMHO, it's a good sign as it is showing improvements.
Contrary to some statements on this board, I think that a weak U.S. dollars is good for the U.S. exportations, hence the economy of the nation. This monetary policy is presently supported by the FED.
So, keep our fingers crossed and just wait and see.
quote:
Originally posted by DevExpert
Correct, but what you have to keep in mind is that they did meet or beat the revised earnings expectations which have been lowered to account for slowdown… I hope that recovery is on the way but as it looks right now if we do not see any improvements by September you can write-off this year for recovery and look to 2004…
;) |
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| harmonr1 |
Mike_Platini is correct that some of the tech sectors have started to return. A market down turn such as the one we had is usually led off by a drop in the growth stocks, small-cap first, then large-cap. It's then followed by a drop in value stocks. Basically everything needs to get beaten up before you will see a real recovery. As one portfolio manager told me, "When the bears come to the picnic, they don't leave till they've eaten everything".
Well it looks like most of the food is gone so a market recovery will probably start out in the tech sector. Analysts have been looking here for a while because inventories are at historic lows, except in the telecommunications sector, which continues to have an oversupply. As companies start to rebuild their networks, upgrade equipment, etc., they isn't much inventory sitting around, the tech companies will have to start manufacturing and the recovery should start. But just IMHO. :27: |
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