I will be shocked if the Nasdaq doesn’t close below 2000 in the next 12-18 months. Other than early-2000 (the year, to be clear) I’ve never seen valuations so high at a time when the fundamentals of both the economy and individual stocks – and particularly tech stocks, where inventories are absolutely through the roof – were deteriorating so rapidly.
We just got what amounts to negative guidance from Dell. I’d expect pre-announcements and negative guidance from at least the following over the next several weeks:
TXN
QCOM
INTC
AMD
RIMM
MOT
AMAT
… and many many others. This is going to be a bloodbath. Why? Everyone’s on the wrong side of the trade… as is the case leading up to all major dislocations…
