Michael Sheldon Likely Quotations

So far the earnings season has gotten off to an underwhelming start, ... I think the positive news from Intel is just what the market needed and is likely to lead to a favorable opening on Wednesday.

So far the earnings season has gotten off to an underwhelming start. I think the positive news from Intel is just what the market needed and is likely to lead to a favorable opening on Wednesday.

Markets are in a trading range right now, consolidating gains after the last few months. A lot of investors were looking to this week's data as a way to break out of the range, but what we've seen has left enough doubt in the minds of the bulls that we aren't likely to break out of this range in the next few sessions.

I think the number is likely to be below the median estimate.

I think that next week, and in fact for the next few weeks, the markets are likely to remain in a trading range, with many of the same issues still in place.

Today, the markets once again pushed to new highs for the indices but the rally appears to have stalled. The likely culprit is that higher bond yields may finally be weighing on the minds of investors.

We're likely to see a correction this year after the run we've had, as well. But the outlook for third and fourth quarter earnings has been good, and if the economic data continue to improve, we could see a slightly more narrow decline that what people have been expecting.

At the moment, I'm cautiously positive about the market, recognizing though that as we go through the year, the economy and corporate profits are likely to slow.

The mood of the market has clearly improved in recent weeks and this most likely reflects optimism that the Fed is close to the end of its recent rate tightening cycle.

That's likely to remain the case until we start to resolve a few of the issues overhanging the markets include interest rates, energy prices and the strength of the economy over the next several months.

The markets remain overbought at current levels and could see some profit taking at any time. However, market internals remain very positive, so investors are reluctant to sell much into that. Given this scenario, we are likely to see more gains through the rest of the year, and some consolidation in early 2005.