Still Bullish After All These Months

SAN FRANCISCO -- The V-shaped-recovery scenario got out of whack today as profit warnings from AES (AES Quote) and Micron (MU Quote), plus analyst estimate cuts on IBM (IBM Quote) and Intel (INTC Quote) weighed on stock proxies.

The Dow Jones Industrial Average fell 1.1%, while the S&P 500 lost 0.6% and the Nasdaq Composite shed 2.5%. The Nasdaq 100 outperformed the Comp, dipping 1.3%, but the Philadelphia Stock Exchange Semiconductor Index fell nearly 8% as Micron lost nearly 23% of its value.

As reported earlier, few market watchers believe Monday was the beginning of an unfettered rally. Among the most optimistic, however, is Don Hays of Hays Advisory Group in Nashville, Tenn. ...