The lower 06 delivery outlook from Toll Brothers cast a dark cloud on the market today. Not just home related stocks were hurt, but non-related as well from worry over economic outlook.

I think the street over react to the Toll Brothers cautious statement because they didn’t tell us anything we didn’t already know. Everybody knows the real estate is going to slow down as the interest rate rise and the affordability becomes an issue. At this point , the risk is minimal. It is actually attractive at this level. Personally I own Beazer Homes and I will continue to hold this position.

Cisco will report tomorrow night and I’ll be paying close attention to that because I have position in Juniper Network. I expect Cisco to report great numbers and beat the estimates.

Personally, I think today’s drop may simply be the market consolidating, taking a break before moving higher. So, be cautious, but be bullish.

This entry was posted on Tuesday, November 8th, 2005 at 9:29 pm and is filed under Market Recap, Stock. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.