Daily market summary and stock picks

THE "DAILY BREAD" FOR THE MARKET

Daily Morning Insights on the Market

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MARKET SUMMARY FOR TUESDAY MAY 30TH. 2000

DOW INDUSTRIAL: 10527.13 = +227.89

NASDAQ: 3459.48 = +254.37

S & P 500: 1422.45 = +14.43

MOST ACTIVE STOCKS & SECTORS

Technology, Internets and Biotechnology stocks rallied the markets to record highs. Technology heavy NASDAQ had its highest daily point and percent (7.93%) gains on record. Gainers included: Adelphia Communications, Agilent Technologies, Alliance Bancorp, AMD, American Express, AOL, Applied Materials, Baan NV, Broadvision, Celera, China Telecom, Ciena, Cisco Systems, Citigroup, Comcast, Compaq, Costco Wholesale, Dell, Disney, DoubleClick, eBay, EMC Corp, Energen, Ericsson, ExxonMobil, FatBrain.Com, France Telecom, Gateway Computers, GM, Hewlett Packard, Home Depot, IBM, Immunex, Intel, JazzTel Plc, JDS Uniphase, JP Morgan, Level 8 Systems, Lucent Technologies, Lycos, Micron Tech, Microsoft, Millenium Pharmaceuticals, Morgan Stanley Dean Witter, Motorola, Nanogen, Nokia, Nortel Networks, Oracle, Parametric, Premium Wear, Qualcomm, Rambus, Santa Fe Snyder, Scientific-Atlanta, SDL inc, Seagate Technologies, Sonus Networks, Summit Tech, Sun Microsystems, Tele Celular Sul Part., Teledyne Tech, Tele Leste Celular SA, Tele Nordeste Celular, Tellabs, Teradyne, Texas Instruments, Ventro Corp, Visual Networks, Vodafone Airtouch Plc, Wesley Jensen, Worldcom, Yahoo! and Ziplink.

MAIN REASONS FOR ACTIVITY

Adelphia Communications has ordered about $550 million worth of Telecommunications equipment from Scientific-Atlanta.
Word is that Baan NV, the struggling Dutch Software company, will be acquired by the U.K.'s Invensys Plc.
US gasoline June futures added 6 cents to close up at $1.065 a gallon. Crude oil also rose 35 cents to close at $30.35 a barrel as gasoline shortage fears begin to spread.
New England Business Services, a B2B company, is paying $40 million for Premium Wear, a shirt maker.
eBay and Disney's Go Network have launched an auction site.
Ziplink was upgraded by Kaufman Brothers.
Alliance Bancorp is buying back 468,000 (5%) of its common shares. Alliance just finished its 1.03 million (10%) common shares buyback announced November 1999.
DB Alex Brown initiated coverage of Brazilian Telecoms.
JDS Uniphase has extended SDL's pump lasers supply contract to 2001. The pump lasers are used in JDS' fiber amplifiers, which make possible high speed and high capacity telecommunications networks.
Norvatis' eye care unit, Ciba Vision, is paying $785 million for specialty contact lenses maker Wesley Jensen.
Qualcomm was upgraded and its price target raised to $120 a share by AG Edwards. Qualcomm closed at 76+.
Gateway Computers announced that it will use the Linux operating system software from privately held Transmeta Corp. to power the Internet devices it is developing with AOL.
France Telecom is paying $40 billion for Orange, a unit of Vodafone Airtouch, and the U.K.'s third largest mobile phone company. Vodafone Airtouch's acquisition of Mannesmann AG required the sell of Orange to avoid anti-trust charges.
Intel announced massive price reductions for its chipsets, despite their shortage.
Microsoft won another court victory in Sun Microsystem's trademark violation charges.
AFTER CLOSE: FatBrain.Com announced that its fiscal Q1 earnings will beat estimates. FatBrain.Com is projecting earnings around $13.5 to $14 million for the quarter. FatBrain.Com is gaining in after hours trading.
Please join some of our ongoing discussions here.

PICKS FOR THE NEXT MARKET DAY

REASONS BEHIND THE PICKS

We are holding our picks. Stocks to watch: AMD, Intel, Lucent Technologies, Microsoft, Motorola, Quest Diagnostics, and Sanmina. What do you think? Post your opinions with the title STOCKS TO WATCH here.
Pay attention to our REVISED sector recommendations or individual stock picks below.
Biotechnology, Technology (Software and Networking stocks), and Telecommunications stocks are still our premiere picks.
Expect the major Internet Portal sites to perform very well.
Internet holding and capacity (storage) companies will do very well (check out our Quarterly forecasts for other picks).

NASDAQ:

Technology, Biotechnology, Telecommunications, and some Internets will gain. Companies like: Act Networks, Advanced Electronic Support Products (AESP), Akamai Technology, Alamosa PCS, AlpNet, Altera, Alysis Technology, Amdahl, Amgen, Anaren Microwave, Andover.Net, Apple, Applied Materials, Ariba, Ariad Pharmaceuticals, Ariel Corporation, Arrowpoint, Ask Jeeves, AudioCodes Ltd., Avanex Corp., Be Incorporated, Cavion Technology, Cellular Technical, Centillum Communications, Centra Software, Centura Software, Charter Communications, Chordiant Software, Cisco Systems, CMGI, Cobalt Networks, Commonwealth Biotechnologies, Corel, Covad Communications, Cygnus, Cytogen Pharmaceutical, Dell, ebay, Ecogen, Elan Corp. PLC, Emerge Interactive, Epicor Software, E-piphany, ePlus, Ericsson, EuroWeb, Excite@Home, Evolving Systems, Finisar, Foundry Networks, FreeMarkets.Com, GeoWorks, Glenayre Technologies, GRIC Communications, Hytek Microsystems, iBasis, Immunex, Impsat Corp., Informix, Infosys Technologies, Inktomi, Intel, Internet Capital Group, Intuit, JDS Uniphase, Juniper Networks, Legato Systems, Linear Technology, Looksmart, Luminex, Metasolv Software, Metrix One, Microsoft, Neoforma.Com, Net2Phone, Netsolve, New Tel, Niku Corp, Novell Networks, Novellus System, Numerical Technologies, Onvia.Com, Optelecom, Oracle, Pac-West Telecomm, Paging Network, Palm, Panja, PFS Web, Portal Software, Qualcomm, Quantum Effect Devices, Red Hat, Register.Com, RiverDeep Group Plc., Robocom, Saflink, Sage, Sanchez Computer Associates, SDL inc., Sequenom, ShopNow.Com, Silicom Ltd., Siliconix, Smith Micro Software, SonicWall, Sonus Networks, Stanford MicroDevices, Sun Microsystems, Sybase, Sycamore Networks, Synaptic Pharmaceuticals, Targ Genetics, TCSI, Tegal Corp., Telular Corp., Terra Networks, Trega Biosciences, TriTel, Turnstone System, UTStarcom, Va Linux, Venture Catalyst, Versata, Vertel Corp., ViaNet.Works, Vitesse Semiconductor, V One Corp., WebMethods, Witness System, WorldCom, Yahoo! and Zebra Technologies.

NYSE:

Telecommunications, Retailing, Utilities, Banking, and Technology stocks like: 3Com, Aetna, Agilent Technology, Alcatel, AMD, AOL, American Express, Analog Devices, AT&T, AT&T Wireless Group, Bank of America, Bank One, Bausch & Lomb, Bell Atlantic, BP Amoco, British Telecom (BT), Cable & Wireless, Celestica, Celera Genomics, Charles Schwab, Chase, Check Point, Chevron, Cigna, Citigroup, Compaq, Computer Associates, Convergys, Dominion Resources, Donaldson Lufkin, Dow Chemical, Dot Hill Systems, E.I. Dupont, El Paso Energy, EMC Corp., Exxon Mobil, Federated Dept. Stores, Fifth Third Bank, FirstStar Bank, GE, GTE, Hewlett Packard, Home Depot, IBM, JC Penny, John Hancock, Johnson & Johnson, JP Morgan, Kmart, Kroger Co, Legg Mason, Lucent Technologies (LU), Merck & co., Merrill Lynch, Micron Technology, Morgan Stanley Dean Witter, Motorola, National Semiconductor, Newbridge Network, Nortel Networks, PE Corp, Pfizer, Philip Morris, Price Communications, Provident Bank, Prudential, Safeguard Scientifics, SBC Communications, Schering-Plough, Schlumberger, Sprint, Sprint PCS, STMicroelectron, Texas Instruments, Tyco International, Unisys, Wal-Mart, Warner Lambert, Wells Fargo, Xerox, and ZDNet will do well.

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MARKET SUMMARY FOR FRIDAY MAY 26TH. 2000

DOW INDUSTRIAL: 10299.24 = -24.68

NASDAQ: 3205.11 = -0.24

S & P 500: 1378.02 = -3.50

MOST ACTIVE STOCKS & SECTORS

The markets closed lower due mostly to the Three-day weekend and the normal light activity on Fridays. Technology heavy NASDAQ lost a fraction. Gainers included: Atmos Energy, AT&T, Broadvision, Cisco Systems, Coca Cola, Costco Wholesale, Equant NV, Ericsson, Gallager Group PLC, Global Crossing, Home Depot, IBM, Intel, JDS Uniphase, Kroger, Leucadia National, Lucent Technologies, Nokia, Oracle, PressTek, S1 Corp, Santa Fe Snyder, SDL inc, Summit Autonomous, Summit Tech, Sun Microsystems, Tele Leste Celular SA, Telemig Celular, and Viatel.

MAIN REASONS FOR ACTIVITY

The US Department of Commerce reported today that, April orders for durable goods (big ticket items) dropped 6.4%, Economists expected only a 0.5% drop. Personal Income rose 0.7% in the same period, 0.1% higher than forecasted. Personal spending rose 0.4% in April, 0.1% above forecast. Although the figures don't show the economy coming to a full stop, they do show some slowing.
The markets recovered almost a 130 points deficit in early trading today to close modestly. For the week, the Dow closed down 328 points, while the NASDAQ amassed a 185 points loss.
US gasoline futures closed up at $1.026 a gallon, the highest price since the Gulf war. Why the high prices? Besides shortages, the new environment friendly Reformulated Gasoline Phase 2 (RFG2) takes time and it is hard to make. Crude oil on the other hand gave back 51 cents to close the week at $30 a barrel.
Moody's downgraded the debt of designer Tommy Hilfiger USA, to Junk Bonds status.
Costco Wholesale was upgraded by DB Alex Brown.
Atmos Energy was upgraded by Paine Webber.
Leucadia National is paying $293 million for Reliance Group Holdings. Both are Insurance companies.
S1, a software company, announced it has received $244 million in investments from investors that include major brokerage houses.
Devon Energy is paying $3.35 billion for Santa Fe Snyder. This consolidation will allow Devon Energy to be one of the Five largest independent Oil and Gas concerns.
Alcon Laboratories, a unit of Nestle, is paying $892.8 million for Summit Autonomous, an eye surgery company. The deal is worth $19/share of Summit; Summit closed at 18+.
Office Depot reported that, its fiscal Q2 earnings will be about 4 to 6 cents a share LOWER than the First Call estimate of 24 cents a share. Office Depot took a heavy beating today.
Progenics Pharmaceutical lost about 70% of its value today after a respected Oncology group withdrew from testing trials of its GMK vaccine for melanoma. The Oncology group stated that, some already approved melanoma treatment therapies have performed better than GMK. Lazard Frerers and CIBC WorldMarkets downgraded Progenics. CIBC also lowered its price target by more than half.
The Justice Department filed its final revised papers today recommending a two way split of Microsoft. While Microsoft closed a fraction lower, it is gaining in after hours trading. Should Microsoft be broken into more than two units? Post your opinions with the title MICROSOFT BREAKUP UNITS here.
Is the Justice Department's approval of the AT&T/MediaOne merger setting the stage for a future anti-trust trial? Post your comments with the title MEDIAONE ACQUISITION here.
AFTER CLOSE: Sources close to the deal say Lucent Technologies, the world's largest telecommunications equipment maker, is in talks to acquire Networking equipment maker Chromatis Networks, in a deal valued at about $5.7 billion.
AFTER CLOSE: Motorola announced it is taking a stake in TrafficMaster Europe GmbH, the German subsidiary of the U.K.'s TrafficMaster Plc. The new company will provide advanced traffic information to cars on various information platforms. The company is expected to start services in Germany, then the rest of Europe, etc.
NOTE: Have fun, but be careful this memorial day weekend. Your families, BusinessJeeves.Com, and the markets are looking forward to your safe return Tuesday.

PICKS FOR THE NEXT MARKET DAY

REASONS BEHIND THE PICKS

Stocks to watch: AMD, Intel, Lucent Technologies, Microsoft, Motorola, Quest Diagnostics, and Sanmina. What do you think? Post your opinions with the title STOCKS TO WATCH here.
Pay attention to our REVISED sector recommendations or individual stock picks below.
Biotechnology, Technology (Software and Networking stocks), and Telecommunications stocks are still our premiere picks.
Expect the major Internet Portal sites to perform very well.
Internet holding and capacity (storage) companies will do very well (check out our Quarterly forecasts for other picks).

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MARKET SUMMARY FOR THURSDAY MAY 25TH. 2000

DOW INDUSTRIAL: 10323.92 = -211.43

NASDAQ: 3205.35 = -65.26

S & P 500: 1381.52 = -17.53

MOST ACTIVE STOCKS & SECTORS

The markets lower as new economic news send mixed signals. Technology heavy NASDAQ lost, mostly due to Microsoft. Gainers included: ADC Telecom, Agilent Technologies, AT&T, Baan, British Sky Broadcasting, Cendant, Centillum Communications, Ciena, Comcast, Conseco, Elf Aquitaine, E*Trade Group, Exodus Communications, Golden Telecom, JazzTel Plc, JLG Industries, Micron Tech, Nortel Networks, Oracle, Pfizer, Protocol Systems, Quest Diagnostics, Salton, Schein Pharmaceuticals, Sonus Networks, Stanford Microdevices, Teledyne Tech, Tellabs, Texas Instruments, Thomson Multimedia, Tyco International, UTStarcom, Vimpelcom, Vodafone Airtouch, and .

MAIN REASONS FOR ACTIVITY

The US Department of Commerce didn't reverse its fiscal Q1 Gross Domestic Product (GDP) growth of 5.4%. Economists expected a downward reversal to 5.2%. This ignited fears that the economy might not be slowing enough.
US Existing Homes sale for April dropped 6.2%, signaling a cooling off in the housing sector.
Bond prices surged as funds moved in from the stock market.
AT&T's acquisition of MediaOne has been approved by the Justice Department. Concerns are that, with AT&T now owning MediaOne and a big chunk of other cable operations, the Justice Department's approval is setting the stage for a future anti-trust trial. What do you think? Post your comments with the title MEDIAONE ACQUISITION here.
Oil futures prices for July surged 58 cents to a 10 week high of $30.51/barrel as gasoline shortage fears grip the markets.
Sonus Networks and Stanford Microdevices' IPOs debuted strong today.
Microsoft lost about 6% today on fears that the leviathan might be broken up three ways. However, a late news release from the Justice Department has re-emphasized the Government's commitment to a two way split. Microsoft is gaining in after hours trading. Should Microsoft be broken into more than two units? Post your opinions with the title MICROSOFT BREAKUP UNITS here.
Federal Mogul, a major auto parts maker, issued an earnings warning for fiscal Q2 and for fiscal Year 2000.
Gateway announced that it is doubling its use of Advanced Micro Devices (AMD) chips.
Welch Allyn is paying $145 million for Protocol Systems. Both companies are Healthcare equipment makers.
Schein Pharmaceutical is to be acquired by Watson Pharmaceutical for about $640 million.
On June 2, Agilent Technologies will replace NACCO Industries on the revered S&P 500 Index. Sanmina Corp will replace Warner Lambert, now a unit of Pfizer, on a future date. Quest Diagnostics will then replace Sanmina on the S&P MidCap 400 Index.

PICKS FOR THE NEXT MARKET DAY

REASONS BEHIND THE PICKS

Stocks to watch for a spectacular long weekend wrap up are: AMD, Microsoft, Quest Diagnostics, Sanmina, Motorola, and Intel. What do you think? Post your opinions with the title STOCKS TO WATCH here.
The market is over-reacting to every piece of economic news. Failing to reverse data doesn't necessary mean doom, especially when the most recent and interest rate sensitive data like housing sales show a slowing economy. Post your views with the title ECONOMIC DATA here.
Pay attention to our REVISED sector recommendations or individual stock picks below.
Biotechnology, Technology (Software and Networking stocks), and Telecommunications stocks are still our premiere picks.
Expect the major Internet Portal sites to perform very well.
Internet holding and capacity (storage) companies will do very well (check out our Quarterly forecasts for other picks).

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MARKET SUMMARY FOR WEDNESDAY MAY 24TH. 2000

DOW INDUSTRIAL: 10535.35 = +113.08

NASDAQ: 3270.61 = +106.06

S & P 500: 1399.05 = +25.19

MOST ACTIVE STOCKS & SECTORS

The markets rallied (especially technology stocks) after Intel announced plans to increase chip production. Gainers included: Amazon, AOL, Applied Materials, AppNet, Atmel Corp, AT&T, Bank of America, Centillum Communications, Cisco Systems, Citigroup, Colonial Commercial, Compaq, Dell, Documentum, EBookers.Com, EMC Corp, Ericsson, Extended System, GE, Global Crossing, IBM, Intel, Intuit, ISS Group, JDS Uniphase, KLA Tencor, LAM Research, LSI Logic, Lumenon Innovation, Merck & Co, Microsoft, Motorola, Nextel Communications, Nokia, Nortel Networks, Oracle, Philip Morris, PMC-Sierra, Primus Knowledge, Schering-Plough, Softnet Systems, Sonic Foundry, Sun Microsystems, Tyco International, Universal Display, Universal Compression Holdings, US Airways, Vodafone Airtouch, Wells Fargo, Worldcom, and Xpedior.

MAIN REASONS FOR ACTIVITY

Intel announced that it will spend about $2 billion in three years to boost chip production at its New Mexico operations to meet the chip shortage. Technology stocks, especially chip making related stocks, staged a spectacular rally.
Bond prices closed lower as funds moved into the stock market.
UAL, the parent of United Airlines, is paying $60 a share to acquire US Airways. US Airways is still rising in after hours trading on Instinet. Most analysts feel this deal is bad, especially for consumers, as other airlines scramble to acquire small players, thus pushing up travel costs. What do you think? Post your comments with the title US AIRWAYS ACQUISITION here.
Sonic Foundry is paying $24 million for International Image Services, a media outlet.
Appnet was selected by BP Amoco to create a real-time online application for its Natural Gas unit. The application is intended for its employees, customers, suppliers, and partners.
Centillum Communications and Universal Compression Holdings' IPOs debuted strong today.
US District Judge Penfield Jackson, the presiding Judge in the Microsoft anti-trust case, asked the government to submit a final revised remedy proposal by Friday. Microsoft will have 48 hours to reply. Judge Penfield also mentioned that a "friend of the court" taught breaking up Microsoft into three parts was an "excellent idea", and wandered why the Government is only requesting a two split. Is it possible the deck is already loaded for Microsoft? Post your opinions with the title MICROSOFT BREAKUP here.
The US House of Representatives have passed legislation to normalize trade relations with China. This paves the way for China to become a member of the World Trade Organization. Do you think China shouldn't have been extended these rare trade privileges due to their human rights record and their stand on Taiwan? Post your views with the title CHINA TRADE here.
Oil and Gasoline futures rallied after the American Petroleum Institute (API) reported a sharp drop in gasoline inventories.
EBookers.Com, the U.K. online travel booker, is in alliance with France Telecom's Wanadoo Internet Service Provider (ISP). Warnadoo has about 1.3 million subscribers.
CORRECTION: We failed to put TUESDAY on yesterday's upgrade. Every other thing was current, but the day of the week. We apologize for the error.

PICKS FOR THE NEXT MARKET DAY

REASONS BEHIND THE PICKS

This rally has staying power, due mostly for bargain hunting.
Pay attention to our REVISED sector recommendations or individual stock picks below.
Biotechnology, Technology (Software and Networking stocks), and Telecommunications stocks are still our premiere picks.
Expect the major Internet Portal sites to perform very well.
Internet holding and capacity (storage) companies will do very well (check out our Quarterly forecasts for other picks).

NASDAQ:

Technology, Biotechnology, Telecommunications, and some Internets will gain. Companies like: Act Networks, Advanced Electronic Support Products (AESP), Akamai Technology, Alamosa PCS, AlpNet, Altera, Alysis Technology, Amdahl, Amgen, Anaren Microwave, Andover.Net, Apple, Applied Materials, Ariba, Ariad Pharmaceuticals, Ariel Corporation, Arrowpoint, Ask Jeeves, AudioCodes Ltd., Avanex Corp., Be Incorporated, Cavion Technology, Cellular Technical, Centra Software, Centura Software, Charter Communications, Chordiant Software, Cisco Systems, CMGI, Cobalt Networks, Commonwealth Biotechnologies, Corel, Covad Communications, Cygnus, Cytogen Pharmaceutical, Dell, ebay, Ecogen, Elan Corp. PLC, Emerge Interactive, Epicor Software, E-piphany, ePlus, Ericsson, EuroWeb, Excite@Home, Evolving Systems, Finisar, Foundry Networks, FreeMarkets.Com, GeoWorks, Glenayre Technologies, GRIC Communications, Hytek Microsystems, iBasis, Immunex, Impsat Corp., Informix, Infosys Technologies, Inktomi, Intel, Internet Capital Group, Intuit, JDS Uniphase, Juniper Networks, Legato Systems, Linear Technology, Looksmart, Luminex, Metasolv Software, Metrix One, Microsoft, Neoforma.Com, Net2Phone, Netsolve, New Tel, Niku Corp, Novell Networks, Novellus System, Numerical Technologies, Onvia.Com, Optelecom, Oracle, Pac-West Telecomm, Paging Network, Palm, Panja, PFS Web, Portal Software, Qualcomm, Quantum Effect Devices, Red Hat, Register.Com, RiverDeep Group Plc., Robocom, Saflink, Sage, Sanchez Computer Associates, SDL inc., Sequenom, ShopNow.Com, Silicom Ltd., Siliconix, Smith Micro Software, SonicWall, Sun Microsystems, Sybase, Sycamore Networks, Synaptic Pharmaceuticals, Targ Genetics, TCSI, Tegal Corp., Telular Corp., Terra Networks, Trega Biosciences, TriTel, Turnstone System, UTStarcom, Va Linux, Venture Catalyst, Versata, Vertel Corp., ViaNet.Works, Vitesse Semiconductor, V One Corp., WebMethods, Witness System, WorldCom, Yahoo! and Zebra Technologies.

NYSE:

Telecommunications, Retailing, Utilities, Banking, and Technology stocks like: 3Com, Aetna, Agilent Technology, Alcatel, AMD, AOL, American Express, Analog Devices, AT&T, AT&T Wireless Group, Bank of America, Bank One, Bausch & Lomb, Bell Atlantic, BP Amoco, British Telecom (BT), Cable & Wireless, Celestica, Celera Genomics, Charles Schwab, Chase, Check Point, Chevron, Cigna, Citigroup, Compaq, Computer Associates, Convergys, Dominion Resources, Donaldson Lufkin, Dow Chemical, Dot Hill Systems, E.I. Dupont, El Paso Energy, EMC Corp., Exxon Mobil, Federated Dept. Stores, Fifth Third Bank, FirstStar Bank, GE, GTE, Hewlett Packard, Home Depot, IBM, JC Penny, John Hancock, Johnson & Johnson, JP Morgan, Kmart, Kroger Co, Legg Mason, Lucent Technologies (LU), Merck & co., Merrill Lynch, Micron Technology, Morgan Stanley Dean Witter, Motorola, National Semiconductor, Newbridge Network, Nortel Networks, PE Corp, Pfizer, Philip Morris, Price Communications, Provident Bank, Prudential, Safeguard Scientifics, SBC Communications, Schering-Plough, Schlumberger, Sprint, Sprint PCS, STMicroelectron, Texas Instruments, Tyco International, Unisys, Wal-Mart, Warner Lambert, Wells Fargo, Xerox, and ZDNet will do well.

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MARKET SUMMARY FOR TUESDAY MAY 23RD. 2000

DOW INDUSTRIAL: 10422.27 = -120.28

NASDAQ: 3164.55 = -199.66

S & P 500: 1373.86 = -26.86

MOST ACTIVE STOCKS & SECTORS

The markets continue to be gripped by renewed interest rate fears. There was a massive sell off of technology stocks. Gainers included: ADC Telecomm, Allergan, Bank of America, Barr Labs, Bindley Western, Cherry Corp, China Resource Development, Citigroup, Comcast, CUseeMe Networks, Echelon Corp, European Micro Holdings, Genesco, GM, Lucent Technologies, Mattel, Motorola, Nisource, Novell, OilGear Co., OmniCare, Optisystems, Pfizer, Reebok International, RehabCare, SierraCities, T/R Systems, Ultimate Software, Ultramar Diamond, UnitedGlobalCom, US Energy, Varian Medical, Vodafone Airtouch, Vysis, and Yankee Candle.

MAIN REASONS FOR ACTIVITY

Vysis signed an agreement with Genentech to provide breast cancer test kits for Genentech's Herceptin treatment.
Genesco's fiscal Q1 earnings beat estimates by 6 cents a share.
BMC Software is paying $70 million for Optisystems.
CUseeMe Networks have selected Sun Microsystems as their preferred technology and infrastructure provider. CUseeMe also announced that it is teaming up with Siemens AG to create a call center for web and wireless mobile systems.
Echelon Corporation was upgraded by Thomas Weisel Partners.
General Motors (GM) is to announce an OnStar (car communications system) deal with a major automaker very soon. GM declined comments, but Toyota and Honda Motor Companies have expressed interest in the system.

PICKS FOR THE NEXT MARKET DAY

REASONS BEHIND THE PICKS

Bargains! Bargains! Bargains! Don't follow the herd and stand on the sidelines too long, you might miss the bargains!
Pay attention to our REVISED sector recommendations or individual stock picks below.
Biotechnology, Technology (Software and Networking stocks), and Telecommunications stocks are still our premiere picks.
Expect the major Internet Portal sites to perform very well.
Internet holding and capacity (storage) companies will do very well (check out our Quarterly forecasts for other picks).

NASDAQ:

Technology, Biotechnology, Telecommunications, and some Internets will gain. Companies like: Act Networks, Advanced Electronic Support Products (AESP), Akamai Technology, Alamosa PCS, AlpNet, Altera, Alysis Technology, Amdahl, Amgen, Anaren Microwave, Andover.Net, Apple, Applied Materials, Ariba, Ariad Pharmaceuticals, Ariel Corporation, Arrowpoint, Ask Jeeves, AudioCodes Ltd., Avanex Corp., Be Incorporated, Cavion Technology, Cellular Technical, Centra Software, Centura Software, Charter Communications, Chordiant Software, Cisco Systems, CMGI, Cobalt Networks, Commonwealth Biotechnologies, Corel, Covad Communications, Cygnus, Cytogen Pharmaceutical, Dell, ebay, Ecogen, Elan Corp. PLC, Emerge Interactive, Epicor Software, E-piphany, ePlus, Ericsson, EuroWeb, Excite@Home, Evolving Systems, Finisar, Foundry Networks, FreeMarkets.Com, GeoWorks, Glenayre Technologies, GRIC Communications, Hytek Microsystems, iBasis, Immunex, Impsat Corp., Informix, Infosys Technologies, Inktomi, Intel, Internet Capital Group, Intuit, JDS Uniphase, Juniper Networks, Legato Systems, Linear Technology, Looksmart, Luminex, Metasolv Software, Metrix One, Microsoft, Neoforma.Com, Net2Phone, Netsolve, New Tel, Niku Corp, Novell Networks, Novellus System, Numerical Technologies, Onvia.Com, Optelecom, Oracle, Pac-West Telecomm, Paging Network, Palm, Panja, PFS Web, Portal Software, Qualcomm, Quantum Effect Devices, Red Hat, Register.Com, RiverDeep Group Plc., Robocom, Saflink, Sage, Sanchez Computer Associates, SDL inc., Sequenom, ShopNow.Com, Silicom Ltd., Siliconix, Smith Micro Software, SonicWall, Sun Microsystems, Sybase, Sycamore Networks, Synaptic Pharmaceuticals, Targ Genetics, TCSI, Tegal Corp., Telular Corp., Terra Networks, Trega Biosciences, TriTel, Turnstone System, UTStarcom, Va Linux, Venture Catalyst, Versata, Vertel Corp., ViaNet.Works, Vitesse Semiconductor, V One Corp., WebMethods, Witness System, WorldCom, Yahoo! and Zebra Technologies.

NYSE:

Telecommunications, Retailing, Utilities, Banking, and Technology stocks like: 3Com, Aetna, Agilent Technology, Alcatel, AMD, AOL, American Express, Analog Devices, AT&T, AT&T Wireless Group, Bank of America, Bank One, Bausch & Lomb, Bell Atlantic, BP Amoco, British Telecom (BT), Cable & Wireless, Celestica, Celera Genomics, Charles Schwab, Chase, Check Point, Chevron, Cigna, Citigroup, Compaq, Computer Associates, Convergys, Dominion Resources, Donaldson Lufkin, Dow Chemical, Dot Hill Systems, E.I. Dupont, El Paso Energy, EMC Corp., Exxon Mobil, Federated Dept. Stores, Fifth Third Bank, FirstStar Bank, GE, GTE, Hewlett Packard, Home Depot, IBM, JC Penny, John Hancock, Johnson & Johnson, JP Morgan, Kmart, Kroger Co, Legg Mason, Lucent Technologies (LU), Merck & co., Merrill Lynch, Micron Technology, Morgan Stanley Dean Witter, Motorola, National Semiconductor, Newbridge Network, Nortel Networks, PE Corp, Pfizer, Philip Morris, Price Communications, Provident Bank, Prudential, Safeguard Scientifics, SBC Communications, Schering-Plough, Schlumberger, Sprint, Sprint PCS, STMicroelectron, Texas Instruments, Tyco International, Unisys, Wal-Mart, Warner Lambert, Wells Fargo, Xerox, and ZDNet will do well.

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MARKET SUMMARY FOR MONDAY MAY 22ND. 2000

DOW INDUSTRIAL: 10542.55 = -84.30

NASDAQ: 3364.21 = -26.19

S & P 500: 1400.72 = -6.23

MOST ACTIVE STOCKS & SECTORS

The markets were gripped by renewed interest rate fears after the Philadelphia Federal Reserve Bank's data shows inflation in the near future. Gainers included: Abbott Labs, Aetna, Ariba, AT&T, Autozone, Bed Bath & Beyond, Castle & Cook, Celeris Corp, Cisco Systems, Citigroup, CMGI, DoubleClick, EcSoftware Group, GM, Health System Design, IBM, IXOS Software, JDS Uniphase, Leisure Time, Lilly Industries, Lyondell Chem, MBIA, Maxco, Miltope Group, MKS Instruments, MuniHoldings, ODS Networks, Peoples Financial, Pepsico, Phone.Com, Progress Corp, Selectica, Smith & Nephew, Spectrx, Sun Microsystems, Tupperware, US-China Industry, US Vision, Vodafone Airtouch, Watsco, Worldcom, and Yahoo!

MAIN REASONS FOR ACTIVITY

Yahoo! is to allow individual investors to buy Yahoo! stocks directly.
Autozone's fiscal Q3 earnings beat estimates by One cent a share.
WebMethods is paying $1.3 billion for ActiveSoftware.
Selectica's ACE 4.5 internet selling system can now handle mobile phone e-commerce and the software has also been enhanced to handle more Operating Systems.
Leisure Time Casinos & Resorts, a gaming equipments maker, has received a $1.5 million order from the California market.

PICKS FOR THE NEXT MARKET DAY

REASONS BEHIND THE PICKS

Bargains! Bargains! Bargains! Don't follow the herd and stand on the sidelines too long, you might miss the bargains!
Pay attention to our REVISED sector recommendations or individual stock picks below.
Biotechnology, Technology (Software and Networking stocks), and Telecommunications stocks are still our premiere picks.
Expect the major Internet Portal sites to perform very well.
Internet holding and capacity (storage) companies will do very well (check out our Quarterly forecasts for other picks).