The Dow Jones average surged 20 points to an all-time high yesterday. When Wall Street opened today the Dow index stood at 3,061.71, now ahead about 700 points, or 31 percent, since last October.
TAKE YOUR CHOICE: "I'm looking for Dow Jones 3,200-3,400 between now and January, and 3,600 by next fall. Current degree of pessimism isn't possible at a market top." (Joseph Granville) . . . "This is a frothy, irrational market, dominated by investors more concerned with charts than with underlying value. A 400-800 point downswing has begun." (California Technology Stock Letter) . . . "Because October has the reputation of being a bad Wall Street month, any hint of a selloff gets magnified out of proportion, and sell orders can be triggered by somebody sneezing." (John Martone Letter) . . . "With the Dow Jones in overvalued territory, the investment climate is fraught with danger." (Investment Quality Trends.) Note: Of all comments I read recently, gloomy forecasts outnumbered cheery ones by about two to one. Maybe that's a good sign.
MARYLAND MEMOS: On Thursday, Oct. 24, Security Analysts host United Asset Management executives at Stouffer's at noon . . . Potomac Electric Power remains on S&P's list, Oct. 9, under "Stocks For Superior Long-Term Total Return." At midweek the stock yielded 6.9 percent . . . Stephen Stauffer, Dean Witter, will mail his firm's Strategem letter, "When Will We Learn?" ("We think the stock market will continue to rise for some time. Our major caveat is the unforeseen decline in corporate profits.") . . . "Since spring, 1989, six-month CD yields have been cut nearly in half to 5.5 percent. For people living on a fixed income, this is like taking a 50 percent salary cut." (Rick Faby, Smith Barney)