Investment Figures Of The Week

COMMENTARY

Positive earnings surprises streamed off the wires, and investors were

exuberant. The markets, already in a good mood after last week's assessment of

the economy by Fed Chairman Alan Greenspan, reacted to news of a budget accord

and reports of little inflationary pressure by propelling the Dow Jones

industrial average to a new high. The Standard & Poor's 500-stock index also

rose to uncharted heights, at 952, and the NASDAQ Composite Index sprinted to a

record 1588. Falling bond yields helped fuel the rally as long bond yields sank

to 6.33%.

Investment Figures of the Week
Investment Figures of the Week
      
                                                % change
      U.S. MARKETS                    Latest  Week    Year
      
      Dow Jones Industrials           8254.9   2.1     49.3
      NASDAQ Combined Composite       1588.1   1.3     47.0
      S&P MidCap 400                   313.6   2.1     42.7
      S&P SmallCap 600                 170.8   1.5     37.8
      S&P SuperComposite 1500          203.7   1.7     48.6
      
                                                % change
      SECTORS                          Latest  Week    Year
      
      Bloomberg Information Age        298.3    0.7     56.5
      S&P Financials                   111.0    4.8     69.5
      S&P Utilities                    201.2    1.8      8.8
      PSE Technology                   323.7   -0.3     70.2
      
                                           % change
      FOREIGN MARKETS           Latest  Week    Year
      
      London (FT-SE 100)        4927.3   1.1     33.1
      Frankfurt (DAX)           4421.7   0.4     78.8
      Tokyo (NIKKEI 225)      20,212.8   0.4     -2.3
      Hong Kong (Hang Seng)   15,983.2   1.6     49.6
      Toronto (TSE 300)         6850.6   1.3     39.8
      Mexico City (IPC)         4974.2   4.9     66.5
      
                                                     Week    Year
      FUNDAMENTALS                        Latest     ago      ago
      
      S&P 500 Dividend Yield               1.59 %    1.60 %    2.24 %
      S&P 500 P/E Ratio (Last 12 mos.)     23.7      23.4      18.3
      S&P 500 P/E Ratio (Next 12 mos.)*    19.1      19.0       NA
      First Call Earnings Surprise*        2.39 %    2.55 %     NA
      
                                                       Week
      TECHNICAL INDICATORS               Latest        ago        Reading
      
      S&P 500 200-day average            796.0        790.0        Positive
      Stocks above 200-day average        81.0 %       80.0 %      Negative
      Options: Put/call ratio             0.45         0.45        Negative
      Insiders: Vickers Sell/buy ratio    2.90         2.83        Negative
      
                                      Latest  Week    Year
      KEY RATES                       week%   ago%    ago%
      
      MONEY MARKET FUNDS              5.17    5.16    4.93
      90-DAY TREASURY BILLS           5.23    5.20    5.34
      6-MONTH BANK CDS                5.18    5.18    5.04
      1-YEAR TREASURY BILLS           5.43    5.52    5.88
      10-YEAR TREASURY NOTES          6.04    6.14    6.89
      30-YEAR TREASURY BONDS          6.33    6.42    7.05
      LONG-TERM AA INDUSTRIALS        6.78    6.90    7.56
      LONG-TERM BBB INDUSTRIALS       7.14    7.24    7.94
      LONG-TERM AA TELEPHONES         7.04    7.13    7.80
      
      BEST-PERFORMING         Last                           Last 12
      GROUPS                  month%                         months%
      
      Homebuilding             30.1    Trucking                124.6
      Computer Systems         24.3    Semiconductors          119.9
      Semiconductors           20.7    Oil & Gas Drilling      110.5
      Communications Equip.    16.7    Invest. Banking/Brkrge. 105.6
      Department Stores        16.5    Savings & Loans         101.2
      
      WORST-PERFORMING         Last                           Last 12
      GROUPS                  month%                          months%
      
      Money Center Banks       -9.4    Gold Mining             -15.6
      Hospital Management      -9.2    Photography/Imaging      -6.7
      Defense Electronics      -9.2    Engineering & Constr.     3.4
      Photography/Imaging      -6.6    Electric Companies        4.4
      Metal & Glass Containers -4.3    Manufactured Housing      7.1
      
                       BLOOMBERG MONEY FLOW ANALYSIS
      
      Rebound ahead?  Stocks with most                      1-month
      significant buying on price weakness        Price      change
      
      Nynex                                       54 57/64   -2 43/64
      Ameritech                                   67 7/8     -1/16
      Bell Atlantic                               71 7/8     -4
      U S West Communications                     36 1/2     -1 3/16
      Sprint                                      49 1/16    -3 3/16
      Toys 'R' Us                                 34 1/8     - 7/8
      
      Decline ahead?  Stocks with most                       1-month
      significant selling on price strength       Price       change
      
      Intel                                       88 1/8      17 7/32
      Microsoft                                  139 15/16    13 9/16
      Dell Computer                               80 7/8      22 5/32
      Amgen                                       58 15/16    13/16
      Ascend Communications                       53 1/8      13 3/4
      Sun Microsystems                            45 11/16     8 15/32
      
                      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     4.48%   4.53%   5.06%   5.10%
      PERCENT OF TREASURIES   74.20   73.72   80.04   79.33
      TAXABLE EQUIVALENT      6.49    6.57    7.33    7.39
      INSURED REVENUE BONDS   4.64    4.67    5.30    5.32
      PERCENT OF TREASURIES   76.85   75.99   83.84   82.75
      TAXABLE EQUIVALENT      6.72    6.77    7.68    7.71
      
      EQUITY FUND CATEGORIES
      Leaders                                 Laggards
      Four-week total return           %      Four-week total return      %
      
      Fidelity Select Computers       18.1    Invesco Strategic Gold    -9.8
      Lexington Troika Russia         17.1    Van Eck Gold Opport. A    -8.7
      Steadman American Industry      16.9    Gabelli Gold              -8.6
      Robertson Steph. Info. Age A    16.9    Morgan Stan. Inst. Gold A -8.3
      Delaware Aggressive Gr. A       15.3    Midas                     -8.2
      
      Leaders                                 Laggards
      52-week total return             %      52-week total return          %
      
      Lexington Troika Russia        151.3    Frontier Equity             -45.0
      ITT Hartford Cap. Apprec. A     98.9    United Svcs. Gold Shares    -43.8
      Fidelity Select Electronics     88.2    Bull & Bear Gold Investors  -40.4
      Pioneer Growth A                79.8    Morgan Stan. Inst. Gold A   -39.4
      American Heritage               78.7    Lexington Strategic Invmts. -37.2
      
      Leaders                            Laggards
      Four-week total return  %          Four-week total return     %
      
      Technology            10.8         Precious Metals          -5.0
      Large-cap Growth       7.1         Pacific/Asia ex-Japan     0.6
      Mid-cap Growth         6.7         Japan                     0.6
      Financial              6.1         Diversified Pacific/Asia  0.8
      Mid-cap Blend          5.7         Foreign                   1.4
      
      Leaders                      Laggards
      52-week total return  %      52-week total return        %
      
      Financial            58.6    Precious Metals           -24.5
      Latin America        54.8    Japan                      -1.8
      Technology           50.5    Diversified Pacific/Asia   10.8
      Large-cap Growth     46.2    Pacific/Asia ex-Japan      16.9
      Large-cap Blend      45.3    International Hybrid       21.7
      
      All data are as of market close Wednesday, July 30, 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 July 29. 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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