In This Issue:
Will The Right Fundamentals Please Stand Up?
The "Uncle Sam Effect"
Small Investors Are Coming Back To Stocks
Inflation Fears Are Increasing
First Some Bad News, Then Some Good News
Easy Index Gains May Be Over
These Four Favorites Should Stay On Top
And So Should China
The Bottom Line This Week
Despite
all the worries about overvalued stocks, the market is continuing to advance.
To be sure, the gains aren't coming by leaps and bounds anymore - but
they are still adding up nicely. Since our last newsletter, the Dow and the
Nasdaq rose another 1.8% and 5.1% respectively.
Will The Right
Fundamentals Please Stand Up?
When
it comes to stock fundamentals, value is in the eye of the beholder.
Traditionalists believe the market is too expensive for the weak economic
recovery they expect to see. The analysts argue that the economy may take over
a year to justify the whopping 46% gain in the Dow since March. Some analysts
think the recovery will never gain the necessary strength.
...