Why is DOW plummeting and NastyDAQ is going up, up and away? S&P headed downward also.

-- Kyle (fordtbonly@aol.com), February 07, 2000

Answers

Perhaps some people think that the NASDAQ is a good "safe zone" during interesting times!!

Otherwise, I don't have a clue.

-- Richard Nixon (me@RichardNixon.org), February 07, 2000.

There is a general (though IMHO mistaken) idea that NASDAQ is impervious to interest rates. I suspect there's a lot of spreading between the Dow (selling) and the NASDAQ (buying) by those who think higher rates will have a negative Dow impact, but won't have any impact on NASDAQ stocks. It's just a guess.

-- (cashtradr@aol.com), February 07, 2000.

There is a growing sentiment that company growth is more important than any other single factor. In terms of indicators like number of customers and sales volumes, nasdaq index stocks are growing faster than dow index stocks. Profitability is not reflected here, and neither group of index stocks necessarily reflects the broader market.

-- Imso (lame@prepped.com), February 07, 2000.

NastyDAQ is hdqr for Bubblecom. A better definition would be planetarium (optical device that projects a representation of heavens on a dome). Those inside looking into the heavens lose perspective, yet just beyond the door lay the streets of asphalt and concrete called "reality". Then you recognize this was just a museum.

When the show is over, all must exit. Leaving early doesn't make you an idiot.

Tommy......

-- Tommy Rogers (Been there@Just a Thought.com), February 07, 2000.

Kyle, The NASDAQ is heavily weighted with high-tech and e- commerce companies which as many know have been the recent recipients of serious cash via investors (institutional, individual, and the like). The Dow is heavily weighted with Blue Chip valuation companies (i.e. Procter&Gamble, IBM, etc.). This index will be a more accurate reflection of investor seniment. The S&P 500, generally, directly correlates with the Dow.

-- NoJo (RSKeiper@aol.com), February 07, 2000.

Thanks, obviously Nasty rules! Forever? Polly comments on this?

-- Kyle (fordtbonly@aol.com), February 07, 2000.