Pullback #1…

I suppose when John Chambers talks people listen? Cisco Systems, Inc. (NasdaqGS: CSCO) reported their fiscal first quarter earnings which ended October 30th with an 8% rise in profits on almost 20% revenue growth. Not too bad, in fact very impressive but the company’s CEO John Chambers warned about slower growth over the upcoming quarters which brought about concerns for overall IT spending. That was enough to send not only Cisco lower, but most of the major indexes as well.

In my previous posts I have eluded to the inevitable pullbacks that will occur in equities during this incessant bull run and that it would create “scale-in” entry points in certain sectors. Key phrase “scale-in” for this could be the first of many pullbacks as the market digests future economic, political and corporate developments.

In closing, to all veterans and those serving our country, thank you for your service and for protecting our freedom.