NOVEMBER PUNCHED

Barrons with some interesting stuff this weekend. First, Don Hays, very bullish based on the yield curve and the price/earnings ratio of the SPX over the next 12 months. Don is going with earnings of $103.19 for 2008 and a P/E ratio of 14.34. My take is the earnings probably come in a little light of $100 but still bullish for stocks as the PE will still be under 15 and with the 10 year Bond trading at a PE of 25 - stocks probably the way to go.

Hays also bullish on KO BUCY NVDA BGC and EMC.

Larry McMillan, a long time option maven and market technician sees problems for the SPX at 1,490, and suggests buying puts if the index traded up to 1,485. I have mentioned 1,490 as a major area of resistance but suspect we may power through it on some good news. That level was a recent area of support until we sliced through a few weeks ago.

Anyhow, November is punched and some surprising year to date stuff:

SPX +4.4%

DJIA +7.3%

OEX +4.8%

NAZ +10.2%

NDX +18.9%

RUT -2.5%

MID +7%

Large Value -FLAT

Large Growth +11.5%

Small Value -11.8%

Small Growth +12.2%

SMH -4%

HHH +16.6%

MSH +8.5%

XLK +12.9%

GOOG +50.5%

AAPL +115%

BKX -17.7%

XBD -12.6%

GS +13.7%

BAC -13.6%

C -40.2%

MER -35.6%

LM-19.7%

IAI -5.2%

XLE +25.3%

XTO +31.4%

MGM +50.8%

LVS +26.7%

WYNN+35.3%

HGX-40.4%

RLX -13.1%

TRAN +2.2%

HUI +20.1%

EFA+13.3%

EEM +35.2%

EWA +34.6%

Big Caps:

GE +2.9%

MO +18.2%

MSFT +12.5%

INTC +28.8%

Bottom line, value is lagging pretty far behind growth and small cap growth, the stocks supposedly without the "overseas sales" are beating large cap growth. I guess large cap financials are part of that under achievement although they may be more value than growth at this point.