Now that I have some time..

Back to the state of having more time and not knowing what to do with it. Here I go again, reading the tea leaves of the stock market and writing down the thoughts.

2010 has been a good year for the market and my holdings, not being immune to this, has also benefited from the raise. Used to be the case when AAPL was the only stock I would be making some profits and also help even out the losses that I made on other trades. The market has been kind in the last two years and has helped lift up other holdings in my account. Few thoughts on what I think about the market now:

First, I have no clue if the market will go up or down in the next few months or so. S&P500 is at 1310, as I write this. And I have been waiting for a pullback since it hit 1200, about 3 months back. But I do see that on the semiconductor side QCOM is highly overvalued. Expecting a revenue of $14bill this year but trading with a market cap of $90billion ?!! Compare that to Intel, with a revenue of $50billion and a market cap of only $120billion ! Given a choice I would lean towards Intel rather than QCOM. But who knows, as Phil Jackson says "momentum is a strange lady", QCOM may run even higher before returning to reasonable valuation.

Unemployment seems to have dropped from 9.4% to 9.% but no one seems to be cheering about this. Apparently this is more due to people not looking for jobs any more than actually getting one. With 14million dudes still looking for work in this country, I would probably hold off on buying stocks like JCPenny or the likes for some more time.

Also looks like there is lot construction work going on around the world, how else can one explain something like CATerpillar providing AAPL like returns in the last couple of years. I mean have looked at those yellow trucks on the road, compare that to cool IPAD or the IPhone !! Looks don't matter in this case :)

stay tuned...