Too Far Too Fast. . . Or Not Far Enough?

Chart of the Week for September 26-October 3, 2003

The Nasdaq Index is up substantially this year. Many investors are dreaming of a return to the heady days of the raging bull-market. The stock prices of some beaten down technology companies have risen well over 100%. Driving this increase is the return of the small investor, witnessed by record increases in borrowing for stock purchases (margin debt). However, investors should remember that even though the Nasdaq is up over 36% this year, it still remains 64% below its all-time high recorded in March of 2000.

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