Richard Cripps
Richard Cripps
facing higher interest prices rates rising starting stock themselves
We're facing the realization that rising (interest) rates and rising stock prices are incompatible. The higher rates are really starting to make themselves felt.
again anytime bit cutting economies economy expected faster fed foreign global grow interest keeps major murky picture quite rates scene slower
But I think that the global picture in 1995 was a little bit more murky than it is today. Economy was slower than today. As we look at the world scene it is actually quite good. A lot of foreign economies are expected to grow a little bit faster than the U.S. economy this year. So that is a major difference. And again it probably keeps the Fed from decreasing or cutting interest rates anytime soon.
acceptable august coming continuing economy fear fed inflation interest meaning move needs numbers price raise raising rates signs toward
I think (the market) needs the ECI price deflator numbers coming in at acceptable levels, meaning that they don't raise the fear of inflation, it needs the Fed not raising interest rates in August and as we move toward the fall, continuing signs that the economy is moderating and that inflation is low.
fed high interest market oil overcame problem raising rates
This was a good, constructive quarter. The market overcame two problem areas: the Fed raising interest rates and high oil prices.
almost bullish fed good interest investor last rates shot time using year
I think if you are bullish here, you go back and look to the last time the Fed eased up on interest rates which was 1995, which, of course, was a good year for investors. The S&P shot up almost 35 percent. So using that as a guide, some investor think that is what we're going to see.
area clearly confidence fed financial higher hikes key pattern performing rate stocks watch
The key area to watch is what financial stocks will do. They've been performing well and it's clearly a pattern of higher highs. If they take this (interest rate hike) well, my confidence that we're getting to the end of these Fed hikes will increase.
beyond earnings economy economy-and-economics financial interest markets
The big fundamental for financial markets is the economy and earnings beyond interest rates.
current fairly goes performs poorly technology time upside view
I'm of the view that the Nasdaq really goes into a consolidation, and historically, for technology, it really performs fairly poorly in the April-to-June time frame. So my view is that Nasdaq, on the whole, pretty much always goes into a consolidation pattern, not much upside from the current level.
balance corporate percent sheets strongest yield
And while you are waiting, you get a 3 percent yield and one of the strongest balance sheets in corporate America.
concept difficult drives markets tradition
Tradition drives these international markets very, very hard. The concept is interesting, but inevitably, they will find it as difficult, if not more difficult than Europe.
either faster grow stock
Either the fundamentals have to grow much faster or the stock has got to come down.
almost companies cut four half october three year
Between October and March, the Nasdaq has almost doubled in price. Even these companies that have been cut in half are still three or four times more than they were a year ago.
bottom draws half kick market range trading
You get a kick in the market that draws in the buyers. I think we're in a trading range and are getting into the bottom half of that trading range.
portfolio rest simply
The Nasdaq is simply crowding out the rest of the market. If you are a portfolio manager, you have to own some of these (technology) names.