Bull markets are born on pessimism, grow on skepticism, mature on optimism, and die on euphoria…Sir John Templeton.
The bulls and bears traded blows for much of Monday’s session as both sides left the ring with mixed results. The bears were able to take two out of three but neither victory was impressive. The Dow dropped a baker’s dozen, or 13 points, to finish at 10,552 while the S&P 500 slipped less than a point and closed at 1,139.
The bulls, however, managed to drive Tech higher (more on that in a minute) by a six-pack as the Nasdaq finished at 2,332. At one point, the Nasdaq traded 2,335 and finished at fresh highs for 2010 and an 18-month high overall.
We have been mentioning the strength in the Tech sector and the bulls can thank Cisco Systems (CSCO, $26.13, up $0.92) for keeping them above water yesterday. The stock rallied nearly 4%, ahead of a MAJOR announcement set for this morning. The company said the news will “forever change the Internet and its impact on consumers, business and governments.”[caption id="attachment_4572" align="aligncenter" width="449" caption="Cisco Systems"][/caption]
Wow. That is a pretty powerful statement and we can’t wait to see what’s up Cisco’s sleeve. Wall Street expects the company to debut toys that will enable its network service providers to build their own high-speed networks. Shares closed at a 52-week high on Monday and the news will hit the Street at 11am (EST).
Despite the forthcoming news, the futures are pricing in a slightly lower open this morning. Dow futures are down by 27 while the S&P 500 and Nasdaq futures are off by about 4 points apiece.]]>