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Can these earning by 3 com keep the dow jones from dropping. The increase in earnings is inline with their 2005 forcase, but the earning has only increased by roughly 10 percent since last year. Roughly 30 percent since 2003.


The dow jones has roughly increased by 30 percent since 2003. I think the earnings forcast for some companies like 3 com can sustain the market. However we still have the issue of the slowing US economy. Conclusion US market is at its peak and assuming US investors were hoping for a more optomistic earnings the us investor have become pesimistic. The good reports versus bad reports will see the finance media attacking companies and reports not reaching expectations. Have not seen one company that looks like it has exceeded expectation, but merely just reach 2005 forecast. The american bull run is over for the mean time.


Good luck to all that have faith in the bull market. Definite the Aussie market is correcting, but the us is not. The US market may lead the Aussie market into a false slump for 1 to 2 months. Earnings forcast for companies in australia are too good and the bull run will last for quiet some time. When it will run out? I can not say. Sooner or later things will go pear shape and I hope the reserve bank goes easy .


For a us crash to occur it would take 60 percent of reports to be bad or lower than expectations. Reserve bank then raises interest rates. Investor will be thinking twice about investing or paying off their loans . Risk versus reward. How big are your balls. Ahcing at the moment. I hold puts and lets hope things get better before they get worst.