Brett Gallagher
Brett Gallagher
continues middle respect war
It continues to be a tug of war with all of the uncertainty going on with respect to the Middle East,
problems worse
With pharmaceuticals, the problems are pretty well known. I don't think they're going to get any worse from here.
durable economic extent good poor vacuum
To an extent we're in a vacuum where even poor economic statistics, such as the durable good orders, can't dissuade investors.
build fund initial leaning managers selling toward using wonder
What I wonder is are we going to see follow-through selling after the initial drop, or are we going have fund managers using the pullback to build up positions? I'm leaning toward the latter.
best bottom companies developed ends giving market pick sector stock
Every market and every sector has different things that make it tick. So when we're looking, for example, at developed markets, we are bottom up stock pickers. We'll pick the best companies and see what kind of allocation that ends up giving us.
certainly ebb flow level market middle national news playing raised security seem sold talk technical
We seem to be certainly playing to the ebb and flow of the news on the Middle East. You had talk that the national security level would be raised and the market sold off immediately, then popped back up once it was dismissed. That's the kind of market we're in. It's rumor-driven, technical and the fundamentals are not playing a role.
backup guys lost
We lost all of our power. We're on backup power. Our guys aren't trading.
appearance companies earnings easier far less looked positive profit
One positive is that S&P earnings so far have looked better than the year-earlier period. Granted, comparisons are a lot easier as companies take less write-offs, but it's still something that's encouraging. I don't think we're going to have a big profit recovery, but we'll have the appearance of improvement.
companies currency factor policy
Some companies have a policy of currency hedging, and you have to factor that into the picture.
bad drive earnings economic either few front good last market news next season seen trading vulnerable
We've seen more bad news than good news on the economic front over the last few weeks, but the market has been trading higher. Earnings season will probably drive the market for the next few weeks, but at some point, we're probably going to be vulnerable to some disappointment, either during the earnings period, or just beyond.
core earnings introduce nobody ongoing operations picture present reason
I thought the reason for core earnings was to present a picture of what earnings from ongoing operations really look like. But because of this one factor, and because it's going to introduce so much volatility, nobody is going to use it.
direction impact longer major war
Longer term, is the war going to have a major impact on the direction of the market? I don't think so.
becoming companies compare extremely investors slowly
I think it's extremely important for U.S. investors to get this idea. It's slowly becoming more mainstream. As the world has become more global, it's more important to get best-in-class, and the only way you'll do that is to compare companies globally.
bounce earnings estimates extent given help last markets quarters risk sold unexpected week
It is a little bounce and it's not to be unexpected given how much the markets sold off last week so I wouldn't read too much into this. Earnings are going to be very important to help set the tone, but the out quarters are still very much at risk and those estimates have not come down to the extent I think they should.