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Ever since the Dow Jones industrial average topped 7000 for the first time two weeks ago, investors like Marie Kordus have become increasingly scared to look down. You could call it verti-Dow. "I try not to watch the market every day because it will make me crazy and I'm afraid I'll make the wrong decisions," says Kordus, 41, who runs a hip-hop radio station in Los Angeles and has built a portfolio of stocks that have jumped about 25% in value in the past two years...

Author: /time Magazine | Title: IS THE DOW TOO PUMPED? | 3/3/1997 | See Source »

Kordus has plenty of partners in anxiety as every lurch in the market--the Dow index did a three-day wiggle and dropped 57.34 points to close at 6931.62 last week--makes skittish investors wonder whether it's finally time to pull the rip cord and cash out. "The average person is very jittery but is still bringing in money in hopes of staying with the bull market," says Robert Coleman, an investment adviser with the firm Christopher Weil & Co. in San Diego. "People are constantly calling and asking, 'What do you think?'" Coleman adds. "I say, 'Relax, stay...

Author: /time Magazine | Title: IS THE DOW TOO PUMPED? | 3/3/1997 | See Source »

...least, Coleman and a chorus of like-minded gurus may well have it right. Since the Dow stood at 3300 four years ago, the tireless trend of the market has reflected an astonishingly resilient and inflation-free U.S. expansion that, like the Energizer Bunny, just keeps going. The economy grew at a robust 4.7% rate in the fourth quarter of 1996, for example, and last week the government reported that consumer prices rose a barely perceptible 0.1% in January...

Author: /time Magazine | Title: IS THE DOW TOO PUMPED? | 3/3/1997 | See Source »

...YORK: When Alan Greenspan speaks, people listen. Especially on Wall Street, where his latest pronouncement at a Senate Banking Committee meeting this morning sent the Dow plunging by more than 100 points before it settled to a loss for 61 1/2 for the day. Greenspan, who rocked markets in December with a comment about the ?irrational exhuberance? among investors that was driving stock prices high, told the Senate Wednesday that the recent upward run of the stock market poses an inflationary threat. When he added that the Fed would not rule out raising short-term interest rates in an effort...

Author: /time Magazine | Title: Greenspan Rattles The Bulls | 2/26/1997 | See Source »

True to Wall Street form, the new titans are exploiting their influence. Mutual-fund manager Michael Price actively pushes for change at companies--Dow Jones is a recent target--in order to improve their laggard stock prices. Meanwhile, the California Public Employees' Retirement System (CalPERS), the nation's largest pension fund with a mountainous $108 billion under management, each year flaunts a list of losers it owns to try to embarrass CEOs into remedial action. CalPERS and other managers--be they of mutual funds or public or private pension funds--have generally wielded their clout for the good...

Author: /time Magazine | Title: OUT OF STEP ON REEBOK | 2/24/1997 | See Source »

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