Barron's Big Money Poll see stocks in near-term slide.NEW YORK--(BUSINESS WIRE)--July 26, 1996--Leading money managers have turned increasingly bearish Bearish Words used to describe investor attitude. A bearish investor believes that a particular asset or the market as a whole will decline in value. bearish with some predicting the Dow Jones Industrial Average Dow Jones Industrial Average The best known U.S. index of stocks. A price-weighted average of 30 actively traded blue-chip stocks, primarily industrials including stocks that trade on the New York Stock Exchange. could drop below 4900, according to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. Barron's quarterly Big Money Poll, published in the July 29 issue. Barron's Big Money Poll uncovered the biggest jump in bearish sentiment in more than three years. More than a third of participating money managers now describe themselves as bearish about the stock market through the end of this year and into mid-1997, up from 15% in the previous survey, published May 13. Though money managers are cooling to every asset class, including blue-chip and small-cap stocks, bonds, gold and commodities, their gloom is tempered. The managers expect stocks to rebound to the 5500 level by year end and stay around there through June 1997. Participants in Barron's Big Money Poll, an authoritative guide to money managers' sentiment, expect relatively weak economic growth with modest inflation in the coming year. They don't see interest rates, gold or oil prices changing much from current levels, and they project growth in corporate profits will be tepid tep·id adj. 1. Moderately warm; lukewarm. 2. Lacking in emotional warmth or enthusiasm; halfhearted: "the tepid conservatism of the fifties" Irving Howe. . Rising interest rates are considered the biggest economic threat to financial markets, with inflation a strong second. Concern over the November elections tops the Big Money Poll's list of political threats to the markets, with particular worry about the possibility that the Democrats will regain control of Congress. Respondents think President Clinton will win easy re-election, however, and that Republicans will keep their majority in both the House and the Senate. Administered by Madway Business Research Inc., an independent polling firm based in Bala Cynwyd, Pa., Barron's Big Money Poll has had an excellent track record in recent years, turning bullish Bullish Word used to describe an investor's attitude. Bullish refers to an optimistic outlook, while bearish means a pessimistic outlook. bullish in November 1994 before the great market advance. The respondents' predictions for the Dow Jones Industrial Average and the S&P 500 have come within 5% of the actual numbers this year. Barron's, the business and financial weekly, is published by Dow Jones Dow Jones the best known of several U.S. indexes of movements in price on Wall Street. [Am. Hist.: Payton, 202] See : Finance & Company, which also publishes The Wall Street Journal, The Wall Street Journal Interactive Edition and other electronic information services See Information Systems. , including Dow Jones Telerate, and the Ottaway group of community newspapers. CONTACT: Dow Jones Roger May, 212/416-2601 |
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