NEWS AND COMMENTARY
May 30, 2001
Start Selling
Now!
We've warned anyone who
will listen that the recent rally is just a temporary blip in a confirmed,
long-term bear market.
Capital expenditures
are declining, and second quarter earnings are expected to be even worse
than the previous two quarters. Earnings for tech stocks are expected
to be down 51% compared to last year's second quarter.
Now, investors are getting
anxious and are bailing out. They're not the only ones! Corporate insiders
are also dumping stocks, using the temporary rally to get rid of shares
in their own companies before stock prices plummet.
For example, the CEO
of one software company recently sold all of his 200,000 shares, and
a vice president sold all of his 15,000 shares.
Our advice: Follow their
lead, and use any continuation of the rally to sell.
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