Wednesday, January 18, 2006

Notice a Pattern Here?

Yesterday, earnings started to flow in.

Intel disappointed. The stock got killed, erasing $16 billion in market cap.

Yahoo disappointed. The stock also got killed with a double-digit percentage loss, just like Intel.

Perhaps the bulls think this was a one-day wonder. A temporary dip, representing a buying opportunity on their way to Dow 36,000. Twits.

Well, more earnings are out now. Ebay. The stock's getting pummelled. Apple (everyone's darling). It's down nearly 7%, and after-hours trading has just started.

Could there be a pattern here? Perhaps the incredibly inflated market, which is priced for perfection, is starting to show its true colors?

There's an interesting three-part series written by a gent at I think you might enjoy. He's predicting the Dow will fall to 6,800 within this year. It's called Cult of the Bear. Enjoy!

Part 1
Part 2
Part 3

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