每日市场点评 - Oct 5, 2007

Bulls got what they need, that is, a job report that is not too hot but is not too cold either. With the upward revision for the previous month, investors don\'t seem to have a need to worry about potential recession, at least for now. The US dollar rallied sharply against Euro and Yen when the news first came out but has since retreated. It shows that the market is still uncertain about the Fed\'s next step. Remember that Wall Street doesn\'t like uncertainty. If we continue to receive better than expected reports in the next few weeks, the market may use them as an excuse for selling off. Treasury bond sold off sharply as the possibility of a near term recession is pretty much non-existing. S&P hit another record high today following Dow\'s breakthrough several sessions ago. Tech appeared to take the leadership role again in today\'s strong market. As I mentioned previously, tech stocks have a good chance to lead the market if there is a fourth quarter rally and I continue to believe so. Since the current market expectation for Q3 earning growth is very low(below 2%), there exists good chance for many companies to beat the consensus. However, what\'s more important is to pay attention to guidance for the fourth quarter and 2008. If they are reasonably good, we may indeed enjoy a nice fourth quarter rally.