John Davidson Stocks Quotations

I believe this will still prove to be true, but there's fear that if the economic recovery is slowing, stocks may not catch up as soon.

If stocks keep deteriorating and the Fed were to cut rates in a coordinated response with the Bank of England, you could see some short-term positive response,

Where does the bond guy put his money now? ... Stocks can absorb inflation more readily than bonds, because you can come through with better pricing power and stronger earnings.

This week they're worried more about the earnings warnings. The lack of the upward drive has allowed the stocks to drift lower.

This was certainly a surprise. It's definitely spooked stocks and raised worries about whether consumer spending, which is responsible for around two-thirds of the economy, is going to slow down, and how that will impact the recovery.

This was certainly a surprise, ... It's definitely spooked stocks and raised worries about whether consumer spending, which is responsible for around two-thirds of the economy, is going to slow down, and how that will impact the recovery.

Despite the decline, the ISM report was very positive, and what you can take away from it is that the economy is continuing to expand. The question for 2004 is whether that continued expansion has already been reflected in the 25 percent returns you saw in stocks last year.

The capacity utilization and industrial production number are forecast to show modest improvement, the housing number won't be as strong as it has been, but it'll still be strong. However, none of these data due tomorrow are really market-moving. I think stocks may be set to drift the rest of this week and into the close of the year.

For the last several weeks, the market has gotten ahead of the economic news. You're seeing that with the jobs report this morning. For stocks to continue to climb, you need to see the economic news start to catch up.