Monday, March 26, 2007

Morning Market Comment

This is the last trading week of March. Many have been talking about 'window dressing' support for the market this week. All this talk about 'window dressing' makes me think about a good salad 'dressing' more than anything else and not about bad assumptions with respect to the stock market. I've really taken a liking to a combination of Ken's Raspberry Walnut drizzled on along with some Marie's Blue Cheese salad dressing... mmmmm delicious! As for the stock market and "window dressing" and the last week of the month, if you're like me and enjoy leafing through historical data one thing you'll fine is that the last week of March has been an up week for the market only a few times over the last 15 years. It does, however, as if we're off to a higher start this morning. S&P 1438-1440 is an area of resistance that I'm looking to see broken to confirm last week's upside breakout.

Charles Prince is trying to keep is job as chairman and chief exec of Citigroup. For him to survive, it looks like 15,000 will lose their jobs.

Tiffany up 2%.. earnings pretty much in line. The company's wealthy customers are actually shifting expenditures toward more expensive diamonds.

Hey Abbott (ABT)! Abbott Xience stent superior to Taxus in key study. This has led to a round of analyst cut for Boston Scientific (BSX).

Pete Stolcer's has a full list of movers this morning. This is a link that I will feature on a regular basis.

Vonage (VG) says don't count them out: But Wall Street isn't listening (see analyst comments below).

Dell has been upgraded to Buy from Neutral at Goldman Sachs with a $28 target.

Jetblue upgraded to Neutral from Reduce at UBS with a $13 target, from $12.

You've gotta love the Wall Street ranking system. Stanford questions if Vonage (VG) can survive in light of the recent court ruling, lowers its target from $5 to $3, but still rates the stock a Hold. What would it take them to cut it to a Sell?? Bear Stearns, however, did downgrade VG to underperform.

Speaking of holds - another one: Deutsche Bank says Motorola (MOT) shares may be LESS of a bargain than they appear. The firm maintains a Hold questioning the company's ability to turnaround its mobile devices unit.

DBAB does like Apple (AAPL) lifting its target from $125 to $130 noting that near term chip ASP weakness will support better margins.

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