Interesting excerpts from investment newsletters:

"It's not terribly difficult to find stocks of profitable, well-financed companies over in the small-cap part of town, whose multiples are at or near single digits. . . . Such stocks used to be called 'bargains.' For now, of course, those low-ball multiples count for nothing with investors, for the simple reason that investors have temporarily agreed to pretend for a while that numbers don't matter."

-- Matthew Stichnoth

The Wall Street Companion

New York

"The current market environment presents major challenges for investors. Extreme overvaluation in the major equity indexes warns that risks are high, yet it is difficult to identify what will stop prices from rising further during the months ahead. However, our concerns about the equity market remain in place. Stock prices may well rise further, but any gains will reflect a continuation of the momentum-driven speculative rally that has been in place for some time. They will not reflect improving fundamentals."

-- Martin Barnes

The Bank Credit Analyst

Montreal

"Change the name [from Amazon.com] to Amazon.org. The '.org' suffix certainly qualifies. If they were an '.org' maybe every time we bought a book we could take a charitable deduction. That would drive tremendous traffic to their site, and Wall Street would run the stock to the moon, even though the company was legally forbidden to make a profit."

-- Michael Murphy

California Technology Stock Letter

Half Moon Bay, Calif.

"We would continue to work on the assumption that the bond market is likely ending, not starting, a decline [that] has been in progress for seven months. However, technical indications suggest that the long Treasury bond yield might moderately exceed the 6.0 percent level before the recent trend reverses, and that figure might have a further near-term 'shock' effect on stocks."

-- Richard T. McCabe

Market Analysis Comment

Merrill Lynch & Co.

New York

"AT&T . . . is being added to the Focus List. Citigroup and Elan have been hurt by declines in the banking and drug sectors, but both stocks have pulled into attractive buying ranges for 2- [to] 3-year gains. The primary trend is bullish, but subscribers should do most buying on pullbacks in quality stocks."

-- Dow Theory Forecasts

Hammond, Ind.