Zeev's Turnips Patch-No Politics (ZEEV)

[otraque]

<<HIGH HOPES http://story.news.yahoo.com/news?tmpl=story&cid=580&ncid=580&e=3&u=/nm/20030628/bs_n...


Many managers and strategists think the market will continue to rise, in part because of the liquidity that has been injected into the financial system thanks to the U.S. Federal Reserve (news - web sites).


"My assumptions are that the fiscal and monetary policies will work, that we will have real growth in the third and fourth quarter, approaching 4 percent; that earnings for the remainder of this year and 2004 will surprise you favorably, and therefore the market has further to go," Morgan Stanley senior investment strategist Byron Wien said at a panel discussion on Thursday morning.


Wien earlier this year called for a surge of more than 25 percent in the S&P 500 in the first six months of 2003.


Money manager Neil Donahoe of Sym Financial Corp. told Reuters he has built up the cash position in the $35 million growth stock fund he runs to about 20 percent from about 5 percent a month ago because he thinks stock prices are too high.


"I wouldn't be surprised if six months from now we're talking about what happened to the rally," he said.


But others say the rally will continue.


"I'm really quite upbeat," said Elizabeth Bramwell, president of the Bramwell Funds. "I think people are going to look at their financial statements at the end of June, and that's going to be a big psychological boost."