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Zacks #1 Stocks on the Move 05/17/2013

Company Name Symbol %Change
VIASAT INC VSAT
19.35%
OLD SECOND B OSBC
5.76%
GAMCO INVEST GBL
4.61%
CORNING INC GLW
4.47%
SYNCHRONOSS SNCR
4.23%
Zacks ZACKS.COM
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Tactics that Work in Good Markets and Bad
 
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Call Me Cautiously Optimistic

After the release of my latest article, I Was Wrong, I realized that some of you may think that I am now a raging bull. "Cautiously optimistic" is a better way to put it. Or simply, I am back to the same Muddle Through Economy guy I was from mid-2009 through early August 2011.

The Muddle Through environment is one where GDP never gets too hot or too cold. It just plays in a range of 0 to 3%, which is certainly under capacity. And unfortunately, unemployment doesn't get much better, which makes it harder to see that growth is actually occurring.

More importantly for stock investors is that corporate earnings growth has been, and can continue to be, very healthy during this period. The level of earnings produced and dividends paid out make stocks more attractive than the other investment options.

So with the Lehman like event in Europe now off the table, investors will likely see US stocks as very attractive. And that is why I think we will likely be flirting with the highs of S&P 1370 by years end.

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Best,

Steve Reitmeister
Executive VP, Zacks Investment Research

 

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Steve Reitmeister
Executive VP, Zacks Investment Research

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