47 Quotes by Richard McCabe

The prospects appear to be favorable for a 'year-end rally.

We think that investors ought to use rebounds to reduce exposure to technology stocks that have declined by 40-to-50 percent or more from their recent highs, ... They should also use pullbacks or tests to increase commitments to the energy, basic industry, consumer cyclical, and financial sectors of the market.

Experience tells us that whereas that degree of recognition can happen for one or two actors, for the vast majority it doesn't, so what matters is to try and be a better actor.

While the recent moves of the market averages may be discouraging, we would not lose hope.

What's going to happen is that unless the advance broadens out to include more stocks, the advance may peter out by early April, maybe a little above 10,000, ... I think we might see some kind of pullback in the spring that might particularly effect these very extended large-cap, blue-chip stocks that are driving the Dow and the S&P.

We expect that a cyclical decline will unfold in 2006.

Technology stocks could possibly come down more. I think they still appear to be vulnerable, including some of the Internet top stocks, including some of the stocks in the software field.

On the way up in the spring you may recall the Dow went above 10,000 near the end of March and it was almost an anticlimactic event. Most of the gains were behind the market and it went higher in the spring, but really most stocks began to top out in April and May. It may work in the same away on the down side, breaking 10,000 might have a psychological impact that gets people more bearish,

After a 4 to 7 percent decline in the major averages from their midsummer highs, the market appears to be in a bottoming process, ... This should eventually provide the foundation for a late 2005-early 2006 recovery during which those averages could moderately exceed, or at least challenge, their summer peaks.