SEPTEMBER 05, 2008 - The Fed will not raise rates after today's employment report that showed unemployment rising to 6.1% - there will be a call for them to lower rates now. Would continue buying recommended banks and brokers. The July 15 lows of banking and consumer stocks will hold - commodity stocks will go lower but think natural gas has bottomed. It may be getting time to buy the semis (SOX) that hit a five year low today. Oil has not bottomed yet.
it's time for a turnaround in the better retail stocks - their prices are low and the Fed will cut rates this week - co is best of breed - the cold snap helps apparel makers - the stock is cheap trading at only 17x next year's earnings vs 14% growth - could sell its credit card division for $7B which should find its way back to the shareholders in the form of additional buybacks (up to 1/3rd of the float) - the time to buy this favorite retailer is now
62.49
0.00%
10/30/07
next day close
62.85
+0.58%
11/05/07
not backing away
57.91
-7.33%
03/28/08
flirting with it at 49 - could see 47 before 53
49.69
-20.48%
07/01/08
think it bottomed today
47.53
-23.94%
07/02/08
want to own it down here
46.69
-25.28%
07/22/08
its retail component will do better with gas prices coming down
45.96
-26.45%
08/22/08
would swap into Walmart (WMT) - has cut back on store growth & has no international exposure - credit card delinquincies have risen to 6.7% - WMT now has superior same store sales comps because of its higher percentage of necessities in its sales mix
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