Published: Thu, 5 Nov 2009
Description: (NECN) - Today's drop in unemployment claims, and an upbeat forecast from Cisco gives investors new reason for optimism. The Dow Jones industrial average closes at nearly 1,006-- jumping almost 204 points-- two percent. The Nasdaq Comp...
Automatically Generated Transcript (may not be 100% accurate)
" And but I market analysis tonight Jim Lowell chief investment strategist -- adviser investments editor of fidelity investor dot com welcome Jim good it is just what the Dow had its biggest gain since July and certainly the jobless claims had. More than a little to do that."
" No question about it could be back over 10000 the reality on the ground is that today was. Basically a move to the upside spiked by fewer jobless claims filed those are very volatile numbers so. I wouldn't take today's direction as sub par for the course and put -- it's rally. Even tomorrow is that -- jobs report could in fact throw some cold water. On today's enthusiasm that said it's very clear that this is a market that is still primed to price and very quickly. Any sliver of positive it is yeah we had some indication that consumers are willing to spend. Consumers are willing to spend that we talked about this and companies like apple AT&T by virtue of their iPhone sales. And then we've begun to see it even as we are going to the open tonight's show Starbucks beating expectations. Really what we are beginning to see as a consumer that is clearly not just simply able but willing to spend. And spend across a spectrum of sectors that's key to getting this economic recovery passed its current stage. That's a good news from Cisco and in fact have their company CEO is waxing poetic about an end to the recession around the world. Cisco's key because of its position with the technology sector but also because John Chambers as one of the first CEOs. To basically worn. By the death of last year's recession so. The street really does watch him I think more closely than many others he does the fact they were able to be the numbers. It was good that the -- forecasting better sales. Not just down the road but in this quarter was fundamentally positive. It's too good news about productivity as well. Productivity is a double edged sword but for investors. You could be here holding the handle that sort. But what happens is that and we're seeing it play out -- dimension -- the top. A jobless recovery is underway doesn't bode well for those are unemployed but for investors and companies the bottom line is definitely improving dramatically so -- Your costs associated with a -- human resource costs so going forward these companies. Will likely get more profitable and stay as productive as they ever have -- job report due out tomorrow Jim anything else will be looking at a Friday. It's -- job report from senator we'll know pretty much have a market's gonna end before it even opens because that report comes at 8:30 in the morning. There is a consumer credit report towards the afternoon. That could either add some fuel to positive move or throw even more cold water pump potentially negative news was -- doing so. Could not believe there -- thanks Jim Lowell and chief investment strategist at adviser investments. And editor of fidelity investor that comes in budget suggests."