Interest rates will remain low for most of the 1990s, helping stock investments do better than bonds and much better than certificates of deposit and money market funds, a top investment strategist for PaineWebber Inc. told a Baltimore audience yesterday.
"Cash is really the worst investment today," said Mary Farrell, a PaineWebber strategist who was in town to appear on public television's Wall $treet Week, which is taped in Owings Mills. "We expect the stock market to be a bull market. The market doesn't seem overvalued at these levels, given the economic recovery that's under way."
Ms. Farrell said the Dow Jones industrial average, a key indicator of the stock market's health, could reach 3,300 to 3,500 by next summer. It closed yesterday at 2985.69.