Nasdaq Will Be Bottoming While Dow Is Making It's Way Higher

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The Zurich Investment Group Newsletter   U.S. Daily Technical Market Update  .Global Quantitative Strategy Monday. March 4, 2002. Mark Zuckerman Managing Director Research Zurich Investment Group E-mail Market Comment The first resistance level on the DJIA is at 10,250, which was the top of the bounce that occurred in January, following the lows of September. A move over that level would be bullish, but only for a short period, as there is heavy resistance at many other levels overhead, starting again at 10,500. We believe it is possible for the Dow to break out into another stronger uptrend, but it will take time, volume, and the participation from many stocks in order to do it, in our opinion. The Nasdaq, on the other hand, has a much more difficult task in order to turn the trend higher. Not only does it have much resistance overhead, but the short-term trend is also still correcting. This split in the market will likely last several more months, as the Nasdaq will be bottoming and basing while the Dow is making its way higher, in our opinion. We believe investors should stick with those trends that are working and not try to guess where the bottom is on those that are not. [for more subscribe here] -U.S. Market News NEW YORK - It took a while, but investors finally got the message: The U.S. economy is indeed turning the corner. After weeks of tug-of-war between economic data and accounting woes, the message rang loud and clear on Friday as the manufacturing sector showed the first sign of expansion in 19 months. [for more subscribe here] _Asia Market News Japan's Nikkei Average rallied 224.17 points, or 2.12 percent, to close at 10,812. The broader Topix Index gained 1.6 percent to 1,030.17. Technology stocks also boosted markets in Singapore on Friday, but Hong Kong's Hang Seng extended its slide and Taiwan relinquished gains to end lower. South Korea's markets were closed for a public holiday. [for more subscribe here] _Europe Market News Markets look set to move higher this week after upbeat economic data in the US revitalized confidence among investors on both sides of the Atlantic. All the major indices ended the week in the black, after manufacturing data from the Institute for Supply Management in the US, formerly known as Napm, showed that the sector was growing for the first time since July 2000. [for more subscribe here] _Taiwan Market Update 1. TSMC (2330 TT) hopes to complete the qualification process that is needed before it can supply leading IDMs with its 0.13-micron technologies. The company may announce a partnership with STM this week. According to the report in the "Commercial Times," TI and Motorola have certified TSMC's 0.13-micron technologies and will place orders this year. 2. UMC (2303 TT) may report solid QoQ sales growth in 2Q02, based on a significant increase in demand for 0.25- and 0.35-micron technologies recently. The company indicated that DVD controller IC, LCD controller IC and LCD driver IC are currently the driving forces. In addition, Nvidia and Infineon have also placed orders for advanced 0.15-micron products. Rumor has it that UMC may post 20% to 30% sequential growth in 2Q02, which is higher than 5% to 10% growth expected for TSMC. [想知更多詳情請在此登記] DOWJONES 10,368.86 +262.73 +2.60% NASDAQ 1,802.74 +71.25 +4.12% NEWZEALAND 2073.18 -9.09 -0.44% TAIWAN 5874.48 +193.70 +3.41% HONGKONG 10607.48 +182.17 +1.75% FTSE100 5169.00 0.00 0.00% NIKKEI225 11450.22 +638.22 +5.90% AUSTRALIA 3369.60 +7.50 +0.22% Equity Analysis James Morgan Senior Analyst E-mail US Consumers' Income and Spending Rose More than Expected in January Both personal income and nominal consumer spending rose 0.4% in January. The new news is that service spending remains healthy, and the impact from the auto sales correction in dollar terms does not seem as large as many forecasters on the street were expecting. This creates more upside risk to the Q1 GDP outlook, which we currently project at 3.5%. We project real consumer spending could run in the 2-2.5% range in Q1, a very impressive performance considering we're coming from 6% real growth in Q4. [for more subscribe here] Market Report Monica Marais Senior Analyst E-mail n February securities market data suggests no clear-cut recovery is underway. Compared with the November quarter, equity underwriting is showing signs of life, but M&A was down again, trading volumes were flat, and volatility is low. n Nevertheless, we believe that the top-tier firms have been oversold based upon perceptions of increased risk in light of recent events. We believe that this creates excellent opportunities for patient, long-term, growth investors. n Goldman Sachs and Morgan Stanley closed their first fiscal quarter in February and are due to report earnings the week of March 18. n For Goldman Sachs, we expect earnings of $1.02 per share this quarter (the third straight quarterly increase), with EPS continuing to increase modestly throughout fiscal 2002. For the year, we continue to expect EPS of $4.80 representing 13% growth over 2001. We are initiating a 2003 estimate of $6 per share, again representing 13% growth. [for more subscribe here]   Equity Analysis Joseph Wong Senior Analyst E-mail Companies Included CCI Crown Castle International reported Q4 results ahead of our estimates; Maintain Outperform rating pending conference CHZ Chittenden Co rporation completed its previously announced acquisition of Ocean National Bank of Maine. CLE CLE beats guidance by $0.01, no major change to outlook. CYN City National closes Civic acquisition for $115 million, or 205% of book value, bringing Bay Area footprint to $1 billion. GNSS Genesis Updates Tax Guidance IBI Urge performance-oriented accounts to stay away on tough fundamentals at Bath & Body Works. ISSX COMPANY RESPONDS TO SALES FORCE DEFECTION RUMORS IVGN IVGN reported an in-line 4Q; outlook for 2002 now murky; lowering rating from Top Pick to Outperform. NVLS Novellus Systems 1Q02 Update [for more subscribe here] Zurich Investment Group E-Mail Center subscribe or unsubscribe to Newsletter at Zurich Investment Group Ltd. ________________________________________ Copyright © 2002 Zurich Investment Group Ltd. All rights reserved. Zurich��궰�ιq�l�l�󤤤� �n�O�P���n�O �s�D�q�T�Ш�Zurich��궰�� ________________________________________ ���v�Ҧ�2002�~Zurich��궰��