Archive for Saturday, August 11, 2001

Blue chips’ rise doesn’t impress analysts

August 11, 2001


— Blue chip stocks rose Friday after a government report indicated inflation appears under control, but the big advance led few to believe that Wall Street suddenly has become optimistic about an economic turnaround.

While the gains for well-known companies were a positive sign, analysts warned they were probably no more than a blip. Similar upticks this year have usually been erased within days in the absence of evidence that the economy is headed out of the doldrums.

"While we had hoped for a summer rally, we think the market remains in frustration mode," said Scott Bleier, strategist at Prime Charter Ltd.

The Dow Jones industrial average rose 117.69 to 10,416.25, rebounding after traders sent it down 101 points earlier in the session. For the week, the Dow finished down 96.53 or 0.9 percent

The Nasdaq composite index was down 6.85 at 1,956.47. The Nasdaq ended the week down 109.86, a loss of 5.3 percent.

Commenting has been disabled for this item.