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19 March 2001 12:48  The worst may not be behind the stock market as prospects>


The worst may not be behind the stock market as prospects for a second half recovery, especially in the technology sector, grow dimmer each week. A surge of earnings warnings over the past month has lowered economic expectations and share prices along with them. Sharp trading swings marked by turns of violent selling are raising the suspicion of heavier losses to follow. "We are not yet at the extreme bottom. We can expect a bounce up, but it will be followed by extreme selling late in the second quarter when the next warning season unfolds," said Larry Rice, Chief Investment Officer at Josephthal & Co. Friday the Nasdaq composite dropped another 2.6%, 49.80 points, to 1,890.91. The Dow industrials ended down 2.03%, 203.64 points, at 9,827.64. The S&P 500 finished down 1.97%, 23.16 points, at 1,150.40.
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