Topic: Growth Stocks

The Wall Street Stock Forecaster Hotline – Friday, March 2, 2007

Article Excerpt

North American stock markets could be sluggish or weak for a month or two as investors dwell on the possibility of a downturn in China’s economy, and the effect it would have on world economic growth. We think China’s economy is in reasonably good shape, but its stock market is showing clear signs of excessive speculation. It could go through additional one-day plunges that rattle investors and put downward pressure on North American stocks. Now is a bad time for investing in Chinese or any emerging markets stocks. But if you have built an investment portfolio along the lines we recommend – well-established stocks, spread out across most if not all of the five main economic sectors – you should stick with it, rather than letting yourself be panicked into selling. FEDERATED DEPARTMENT STORES INC. $44.25, New York symbol FD, earned $870 million or $1.66 a share from continuing operations in its fourth fiscal quarter ended February 3, 2007, up 35.1% from…