Not Buying the ISM Enthusiasm

 | Sep 01, 2011 | 10:39 AM EDT  | Comments
  • Comment
  • Print Print
  • Print
Stock quotes in this article:

MFN CPIX AKRX

A slightly better than expected Institute for Supply Management report has the bulls feeling a little better, but the bears are fighting hard to fade the positive reaction. While the number exceeded expectations, it indicates that growth is at a near standstill. In addition, it also may influence the Fed to be not as aggressive with its policies, since it isn't a total disaster.

Technically I do not like this action or the mood at all, and I'm inclined to sell or short rather than look for buys. I have a few odds and end on my long list. Minefinders (MFN), a gold miner, is setting up nicely. Cumberland Pharmaceuticals (CPIX) and Akorn (AKRX), which are small biotechs, are trying to break out. However I don't see much momentum overall, so I'm not doing much with them.

I've covered most of my index shorts and positioned mostly in cash now. I'm anxious to be aggressive with some buys, but until there is better action I'll need to be patient.

Columnist Conversations

This is how big AAPL Is Tech Net Income View Chart » View in New Window &raq...
From WSJ.com (this afternoon...) "Fraudulent Transactions Surface After Home Depot Breach A large data breac...
Bed, Bath & Beyond (BBBY) surpassed expectations on both revenues and EPS. Plenty of short covering going...
one ugly close today. long time since seeing this type (bearish on close) tape action. the rather large buy-di...

BEST IDEAS

REAL MONEY'S BEST IDEAS

Columnist Tweets

BROKERAGE PARTNERS

Except as otherwise indicated, quotes are delayed. Quotes delayed at least 20 minutes for all exchanges. Market Data provided by Interactive Data. Company fundamental data provided by Morningstar. Earnings and ratings provided by Zacks. Mutual fund data provided by Valueline. ETF data provided by Lipper. Powered and implemented by Interactive Data Managed Solutions.


TheStreet Ratings updates stock ratings daily. However, if no rating change occurs, the data on this page does not update. The data does update after 90 days if no rating change occurs within that time period.

IDC calculates the Market Cap for the basic symbol to include common shares only. Year-to-date mutual fund returns are calculated on a monthly basis by Value Line and posted mid-month.