Dow Nears 2003 High as Stocks Rally

Yahoo! News ^ | 5/30/2003 | Steve Gelsi

[Tunehead54]

Any KO (Coke)? I had to watch it go from 54 to 37 - and had to bail - glad its coming back. Over time its been almost unbeatable but a man has his limitations. Anybody with KO can thank me 'cause I sold at the absolute low. ;-(

Like when I wash my truck - rain w/in 24 hours , guaranteed. ;-)

[aristeides]

Even the Washington Post gets it: Signs of Economic Health .

[CholeraJoe]

with the biggest gains in American Express, Caterpillar, Boeing, Home Depot and Coca-Cola."

I carry American Express Cards, have a Cat hat, fly on Boeing airplanes, shop (frequently) at Home Depot and drink Coke. Does that mean you owe me something?

[MeneMeneTekelUpharsin]

Heard the most hilarious newscast on WABC radio. Talking about the serious drop in consumer sales........01%......followed by the statement that Americans were sooo worried they didn't buy food and clothing.

Exactly right. We didn't spend our money on food and clothing. My wife and I bought two (2) SUVs. Yes they're used, but we needed newer vehicles. Yep, no one is buying hardly anything. LOL.

[OldFriend]

All those new houses being built have empty interiors too.......no plumbing or heating/cooling...no walls, no appliances.........definitely no refrigerators since no one is buying food. No closets either, cause no one is buying clothing.

[bvw]

Parked ... signs ... aching.

Fine.

[montag813]

The NASDAQ is closing in on its 2002 high. The author is covering the wrong index. $SOX is where the action is.

[montag813]

The NASDAQ is closing in on its 2002 high. The author is covering the wrong index. $SOX is where the action is.

[Mark Turbo]

Whoo Hooo!!! I hold 3 of the 5 [American Express, Caterpillar, Boeing, Home Depot and Coca-Cola]. It was a VERY GOOD day.

You win. I hold only 2 of the 5, so I merely had a GOOD day. :^)

[Southack]

As predicted here, people are beginning to buy up dividend paying stocks in order to maximize their after-tax income. The dividend tax, as of yesterday's signing by President Bush, is now only 15% (half of its 2002 level), and will be completely repealed in 2004.

This new trend towards tax-free income is going to absolutely CRUSH the "tax free" muni bond market, especially since so many cities are defaulting (and a couple of states may even default).

Of course, flights to the safety of U.S. Treasuries won't really see this as a big negative, but those municipalities who need to issue more bonds are going to feel the pain!

Why risk all of your investment in a tax free muni bond that might default, when all that you can get is a 5% return...especially since you can now buy dividend paying stocks that give you tax free returns of more than 10%?!

So is it any wonder that Socialists in urban areas are gloomy, while the rest of America cheers on the new buying binge on the Stock Markets?!

[wardaddy]

Not to mention that muni is gonna lose about 8-10% in value if interest rates go up a full point.

[bvw]

That aspect and the fact we are winning in some key ways wrt Euro, despite or because of the $ going south, are good signs. However I don't agree with the princible that the big stock markets will be the indicator of economic health or recovery.

[AlGone2001]

This is the woest nightmare that the democrats could have imagined.

[junta]

Liquidity driven speculation, index allocation by drivers of other people's money. Though there might be something to the new tax cuts on dividends sparking some interest. I have T held in trust and since it has a P/E of 0 (money loser)it still has had a nice run this year perhaps it is the current 3.9% yield with dividend.