On his Mad Money show tonight, Jim Cramer reiterated his Google recommendation, along with a recommendation for about 7 other stocks (he also had separate segments where he recommended BEA Systems and companies that are in the electronic prescription business). GOOG might get a small extra boost tomorrow because of this.
Cramer considers GOOG one of his “four horsement of tech” and often mentions it on his show.
To the market’s surprise, the Fed cut by .5% today, sending stocks soaring. Google was up on the news too, by about 1.9%.
It’s not clear how the Fed’s actions will affect Google much, but I don’t see this news creating a particularly good or bad buying opportunity for GOOG. If anything, it makes it a little pricier since interest rates don’t affect Google that much (it may affect some of its advertisers, but probably not that many since most are internet companies).
The tech sector took a dip today, and Google followed by .65%. The big Fed meeting is tomorrow, so we’ll see if the stock fluctuates much then.
This week, the stock market will likely be very volatile depending on what the Fed does. Most analysts believe interest rates shouldn’t affect a tech stock like Google that much, but market sentiment will likely affect its price nonetheless. If the Fed does something that spooks the market, it might present a good opportunity for buying some GOOG.