Freeman's bullishness isn't blind. And he worries that rising consumer debt and labor costs could trigger inflation. What surprises Freeman, a 17-year veteran of financial analysis, is the speed at which bad and good news sweeps through global markets. Bear markets such as the one that hit the USA last summer now start and finish in two or three months. Events that drive Asia overnight land on Wall Street the next morning, making it all the more important to not play short-term trends.
Freeman suggests investors stick to fundamentals.
He says the key to success in 1999 will be maintaining the patience to uncover large-company stocks trading at discounted prices. Cohen, who has been the equivalent of the North Star for market forecasters, says investors are preoccupied with following the pack. Instead, investors should examine new opportunities in small-company and energy stocks. Ignoring the averages is the key. But I'm trying not to follow the momentum.