The Trading Floor

[mick]

part #6 ,,, shortages 04/20/04
Surprising 2004 Forecast

Here's the great news on the economic expansion -- it's for real

Our latest ChangeWave Alliance survey into information technology spending by corporate America tells us that it's on track to meet expectations in the fourth quarter and increase in Q1 2004. There are pockets of very serious growth -- especially in security software and laptops -- as well as pockets of falling sales, notably in Unix-based servers and platform software for legacy systems.

More importantly, ChangeWave recorded the highest level of "Green Light" or "spend to budget" sentiment we've seen in the last 2 1/2 years, a very important indicator for investors. This shift means visibility into sales will increase for vendors, volatility in sales and sales expectations will decrease, and the risk premium for IT-related companies is lower than it was just one quarter ago. That's great news.

The bottom line is that we see corporate IT spending gaining further momentum as we head towards the first quarter, a key sign of sustainable growth and a strong economy for 2004.

Our proprietary ChangeWave Investing Alliance -- comprised of 4,200 professionals "embedded" in key positions throughout the most critical industries of the American economy -- has uncovered several critical, fundamental shifts in the U.S. economic and market direction, as you'll see.

But first, let me fill in the blanks. Our Alliance members are the "movers-and-shakers" of the business world. The guys who make the decisions on what new equipment to purchase. The researchers developing breakthrough new technologies. Top sales guys in the field. Information systems managers at top corporations. The men and women who control the purse strings. And so on.

These folks are the lifeblood of American business -- and the key to your inside investing advantage. Here's how the Alliance works.