Investment Figures Of The Week

COMMENTARY

A discouraging week in the financial markets. The Dow Jones industrial average

climbed to 7038 on Feb. 25, only to plunge on Feb. 26 in reaction to comments

by Federal Reserve Chairman Alan Greenspan. After the Fed chairman warned that

the Federal Reserve might boost rates to head off inflation, the Dow fell 122

points. The market recovered, ending the day down 55 points, at 6983. Bond

prices sustained their biggest losses since July in the wake of the Greenspan

remarks.

Investment Figures of the Week
Investment Figures of the Week
                                                     % change
      U.S. MARKETS                        Latest     Week    Year
      Dow Jones Industrials               6983.2      0.8    25.8
      NASDAQ Combined Composite           1340.6     -0.5    21.2
      S&P MidCap 400                      266.4       0.1    16.2
      S&P SmallCap 600                    146.0      -1.8    16.4
      S&P SuperComposite 1500             172.5      -0.9    22.7
      
                                                       % change
      SECTORS                             Latest     Week    Year
      Bloomberg Information Age           247.4      -0.9    18.2
      S&P Financials                      94.2       -1.7    40.8
      S&P Utilities                       196.6      -1.4    -0.8
      PSE Technology                      265.1      -1.5    21.2
      
                                                       % change
      FOREIGN MARKETS                     Latest     Week    Year
      London (FT-SE 100)                  4329.3     -0.6     16.5
      Frankfurt (DAX)                     3237.9      1.3     32.4
      Tokyo (NIKKEI 225)                  18,990.9   -0.3    -5.0
      Hong Kong (Hang Seng)               13,541.8    1.0     20.9
      Toronto (TSE 300)                   6201.4     -0.1     25.2
      Mexico City (IPC)                   3890.2      0.4     31.6
      
                                                     Week     Year
      FUNDAMENTALS                          Latest    ago     ago
      S&P 500 Dividend Yield                1.79%    1.78%    2.15%
      S&P 500 P/E Ratio (Last 12 mos.)      21.2     21.4     18.7
      S&P 500 P/E Ratio (Next 12 mos.)*     17.2     17.2     NA
      First Call Earnings Revision*        -0.71%   -0.34%    NA
      
                                                    Week
      TECHNICAL INDICATORS                 Latest    ago      Reading
      S&P 500 200-day average              705.5    701.4     Positive
      Stocks above 200-day average         72.0%    73.0%     Negative
      Options: Put/call ratio              0.59     0.58      Negative
      Insiders: Vickers Sell/buy ratio     1.79     1.78      Positive
      
      BEST-PERFORMING                 Last                          Last 12
      GROUPS                         month%                         months%
      Savings & Loans                23.5    Shoes                  121.7
      Leisure Time                   14.8    Savings & Loans        72.8
      Genl. Merchandise Chains       14.5    Semiconductors         69.1
      Invest. Banking/Brkrge.        13.9    Oil & Gas Drilling     58.5
      Trucking                       13.7    Money Center Banks     51.5
      
      WORST-PERFORMING               Last                            Last 12
      GROUPS                         month%                          months%
      Oil & Gas Drilling             -15.5   Broadcasting            -26.3
      Communications Equip.          -12.8   Machine Tools           -20.1
      Oil Exploration & Prod.        -12.1   Gold Mining             -19.4
      Oil-Well Equip. & Svcs.        -6.6    Trucking                -17.2
      Engineering & Constr.          -5.0    Steel                   -11.7
      
      BLOOMBERG MONEY FLOW ANALYSIS
      Rebound ahead?  Stocks with most                     1-month
      significant buying on price weakness    Price        change
      Motorola                                57 3/8       -7 3/8
      ITT                                     57 1/4       -1 1/4
      Tele-Communications                     13           -13/16
      Heftel Broadcasting                     40 7/8       -3 5/8
      Conrail                                 104 1/2      -1 5/8
      WMX Technologies                        33 3/8       -1 3/8
      Microsoft                               99 1/2        3 3/8
      Oracle                                  40 7/8        2 3/4
      Amgen                                   62 7/8        7 15/16
      Sun Microsystems                        32 3/4        1 1/2
      Worldcom                                26 5/8        3/4
      Gateway 2000                            61 1/4        5/8
      
                                          Latest     Week     Year
      KEY RATES                            week%     ago%     ago%
      MONEY MARKET FUNDS                   4.95      4.96     4.93
      90-DAY TREASURY BILLS                5.18      5.11     4.98
      6-MONTH BANK CDS                     5.01      5.01     4.63
      1-YEAR TREASURY BILLS                5.59      5.46     5.05
      10-YEAR TREASURY NOTES               6.53      6.30     6.01
      30-YEAR TREASURY BONDS               6.78      6.57     6.45
      LONG-TERM AA INDUSTRIALS             7.28      6.99     7.06
      LONG-TERM BBB INDUSTRIALS            7.61      7.39     7.47
      LONG-TERM AA TELEPHONES              7.48      7.27     7.36
      
      BLOOMBERG MUNI YIELD EQUIVALENTS
      Taxable equivalent yields on AAA-rated, tax-exempt municipal bonds,
      assuming a 31% federal tax rate.
                              10-yr. bond     30-yr. bond
                              Latest  Last    Latest  Last
                              week    week    week    week
      GENERAL OBLIGATIONS     4.84%   4.75%   5.44%   5.35%
      PERCENT OF TREASURIES   74.17   75.36   80.32   81.39
      TAXABLE EQUIVALENT      7.01    6.88    7.88    7.75
      INSURED REVENUE BONDS   4.91    4.82    5.63    5.54
      PERCENT OF TREASURIES   75.24   76.47   83.13   84.28
      TAXABLE EQUIVALENT      7.12    6.99    8.16    8.03
      
      EQUITY FUNDS
      Leaders                           Laggards
      Four-week total return         %  Four-week total return         %
      American Heritage            21.9 Van Wagoner Emerging Gr.      -12.2
      Lexington Troika Russia      21.4 Fidelity Sel. Natural Ga      -12.0
      Morg. Stn. Inst. Lat. Am. A  13.3 Calvert Strat. Growth C       -10.3
      Morgan Stan. Latin Am. A     13.2 Van Wagoner Micro-Cap         -9.5
      Merrill Latin America A      11.9 OVB Emerging Growth A         -9.5
      
      Leaders                               Laggards
      52-week total return             %    52-week total return        %
      Vontobel Eastern Europ. Eq.     84.7  Steadman Technology Grth. -41.7
      State St. Res. Glob. Res. A     58.6  United Svcs. Gold Shares  -34.3
      Interactive Inv. Tech Val.      56.1  Matthews Korea            -31.8
      Morg. Stanley Inst. Lat. Am. A  54.1  DFA Japanese Small Co.    -31.1
      Morgan Stanley Latin Am. A      53.0  Fidelity Japan Small Co   -30.3
      
      EQUITY FUND CATEGORIES
      Leaders                        Laggards
      Four-week total return  %      Four-week total return    %
      Latin America          10.9    Small-cap Growth        -3.4
      Financial              8.6     Natural Resources       -2.1
      Precious Metals        7.9     Technology              -1.3
      Health                 5.4     Mid-cap Growth          -0.3
      
      Leaders                               Laggards
      52-week total return           %      52-week total return     %
      Diversified Emerging Markets  5.1     Small-cap Blend          0.1
      Financial                     36.8    Japan                   -15.3
      Latin America                 33.8    Precious Metals         -7.2
      Real Estate                   33.0    Diversified Pacific     -0.3
      Europe                        23.0    Pacific ex-Japan         4.4
      Small-cap Value               22.1    Communications           5.4
      
      All data are as of market close Wednesday, Feb. 26, 1997, unless otherwise 
      indicated. Industry groups include S&P 500 companies only.  Fundamentals, 
      technical indicators, Bloomberg money flow analysis, and mutual fund returns 
      are as of Feb. 25. For a more detailed explanation, write to us or E-mail 
      figures@businessweek.com  NA=Not available  **Vanguard Index 500 Fund
      
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