Reversing a two-day, 37 point slide, the Dow Jones average regained its balance and edged up a point yesterday. When stocks opened today the Dow index stood at 3,040.92, about 675 points above its level one year ago.
AND NOW WHERE? "Many investors have no idea that a dynamic bull market got under way one year ago this month. It's likely to persist for months, even years." (Cabot Market Letter) . . . "Evidence mounts that the economy's sluggishness won't go away on its own. Jobs situation is depressing and money supply growth is anemic at best." (United & Babson Report) . . . "Legacy of October, 1987, is the continuing phobia every October now brings. Fear is a genuine enemy in investing, and Octobers remind skittish investors who have not conquered this destructive investment trait." (Wall Street Generalist) . . . "Major trend still up, but a November corrective phase is likely." (Market Systems Newsletter)
NEWS & VIEWS: "Earnings better than expected, but we'll have one more Fed rate reduction. Smells like a real bull market lasting into 1992 and 1993." (Frank Cappiello) . . . "Stocks can go even higher, short-term, but then could drop 5 to 10 percent. But don't sell; this is a real long-term bull market." (Michael Holland) . . . "Dow will touch 3,150-3,200, the bull market remaining intact into 1993, but low advance-decline ratio signals caution. There's a new whiff of inflation now; I like the oils. " (Bernadette Murphy) Maryann Keller, guest auto specialist, recommends Gentex, an auto safety stock, adding, "Don't dump the Big 3." (Above from "Wall Street Week with Louis Rukeyser")
BALTIMORE BEAT: Rick Faby, Smith Barney, will send a list of "Earnings Estimate Revisions," showing 38 companies' profits revised upward, 14 down. Local note: BG&E's earnings are revised upward . . . Morry Zolet, Ferris, Baker Watts & Co. will mail Standard & Poor's 10-page "Year-End Tax Planning:1991," if you phone him, 685-2600 . . . T. Rowe Price's European Stock vTC Fund is mentioned favorably in Financial World, Oct. 29 ("European markets lagged U.S. market this year and last, and European currencies weakened vs. the dollar; we expect both trends to reverse longer-term."
LOCAL LINE: Washington Gas Light is under 'Strong Dividend Growth, High Rankings" in S&P Outlook, Oct.16 . . . Harry B. Gorfine Co. (539-5474) will mail its October Tax Report with a story on home office expense deductions . . . David Schiavone, Long & Foster (544-4000) reminds us, "Although you reported that banks were not lending real estate money, I assure you this is not the case." ("Schiavone had sales of over $1 million in August, the ultimate Realtor's dream," says The Annapolis Capital) . . . Gruntal & Co. will mail you a bullish report on Merry-Go-Round.
END PAPERS: "Americans are more deeply troubled than they were earlier this year, especially about the economy." (New York Times-CBS News Poll) . . . Only two of 10 Americans say they're better off now than when President Bush was elected." (Washington Post-ABC Poll) . . . Insomnia Non-Money Notes: "Larry King changed his name from Larry Zeiger in 1961, explaining, "one of the best moves I ever made." King also said, "I'd like to see Chuck Thompson in the Baseball Broadcasters Hall of Fame." . . . This week, the Dow Jones price-earnings ratio stands at double its level one year ago, a whopping 27 times vs. 12 times earnings in autumn, 1990.