Pat Fitzgibbons Chatted on AOL's MarketTalk Produced by Sage at 11 a.m. EST on Wednesday, March 21.

Comment:

Live from New York, N.Y., please welcome Pat Fitzgibbons, markets editor at

TheStreet.com

. Pat can answer questions about the markets and investing. Pat does

not

offer individual stock commentaries or recommendations.

PFitzgibbo:

Hi, everyone, hope you're all surviving this zany market!

Question:

Would you be recommending mid- to small-cap funds for the remainder of this year?

PFitzgibbo:

I'd be very careful in recommending any one sector or cap size at this point.

PFitzgibbo:

I think that the idea of all or nothing for a sector is over for a little while and investors are going to have to be much more concerned with the fundamentals of their holdings, whether those holding are in individual stocks or in funds.

Question:

With

Intel

(INTC) - Get Report

down around $25, is this a good time to buy?

SageReba:

Or are there any reasons to be buying at this time, in your opinion, Pat?

PFitzgibbo:

Intel is in a bit of a tough spot, although I tend to think its still a very strong company. I'm not sure that I would go too crazy in buying tech right now, though.

PFitzgibbo:

You know, a lot of very smart people have been advising to "Buy the Dips" for about the last few months. However, what has happened is that one dip has been replaced with another deeper dip.

PFitzgibbo:

What is there right now in the stock market that looks

so

different than the past six months?

PFitzgibbo:

I'm not so sure I see much of anything.

Question:

Do you think the current market conditions will have an effect on the

Microsoft

(MSFT) - Get Report

case?

PFitzgibbo:

Hmm, that's a good question. I don't really thing so, though.

PFitzgibbo:

I think that what will have more of an impact on this case is whether the

Bush

admin. pursues it very vigorously.

PFitzgibbo:

I tend to think they won't and I think this thing is resolved within the year.

Question:

Can analysts own individual stocks and if so, isn't it a conflict of interest for them to upgrade and downgrade stocks that they own?

PFitzgibbo:

I use to work at

Bear Stearns

in equity research and I can't think of anyone who didn't own stocks. Is it a conflict? Of course it is.

PFitzgibbo:

Is there a movement to change it? Not really.

Question:

What is the outlook for the market? Are we at the bottom?

SageReba:

Or is this the $64K question?

PFitzgibbo:

It's worth at least $64,000!

PFitzgibbo:

I don't think this is the bottom. I think we have some more weak earnings to come for the first quarter of the year and I don't think the tax cut will be as much of a stimulus as Bush thinks (hopes?) it will be.

Question:

Your opinion on

Citigroup

(C) - Get Report

, please. Thank you.

PFitzgibbo:

I think the financials are in for a rocky patch here because of the slowdown in the

IPO business, the weakening economy and the fact that as a class, all these companies depend so highly on revenues from trades. If volume in the stock market starts to slip, look for these companies to struggle. Big time.

Question:

What is considered a conservative investment that can hold on during a market like this?

PFitzgibbo:

Well, certainly, bonds have always been considered very conservative but also very safe. There is more than one kind of bond, though. There are Treasuries, backed by the government.

PFitzgibbo:

There are municipal bonds, backed by either revenues from projects or the general obligation of the issuer -- say, the City of New York, the State of California, etc.

PFitzgibbo:

There are also certain stock classes that are performing pretty well. Foods, beverages, oil and gas companies are all doing OK.

Question:

In your opinion, what phase of a bear market are we in? Bottom line, when will the market go up?

PFitzgibbo:

If I really knew that, I'd be somewhere much, much warmer!

PFitzgibbo:

The market will go up when company fundamentals improve and I tend to think that might not be done in a meaningful way until next year.

Question:

What are your thoughts on

Alan Greenspan

and how he is handling the economy? Do you have any thoughts as to why the market reacted the way it did yesterday?

PFitzgibbo:

I think Greenspan has been praised too much for the market's move higher and has been criticized too much for the market's struggles.

PFitzgibbo:

He's a conservative guy, he has managed the

Fed

in a conservative fashion, which I think has largely been the appropriate course of action during his tenure.

PFitzgibbo:

The market reacted poorly yesterday afternoon because a lot of people forgot that this is, by nature a conservative guy and allowed themselves to think the Fed was going to lower rates by 75

basis points, which he's never done before.

Question:

If Greenspan decides to cut interest rates at the next meeting, it will still take approximately 6 months to affect the market. What do you recommend the investors do in the meantime?

PFitzgibbo:

I would hang on, if I were you.

PFitzgibbo:

If you have a long enough window and can ride this out, that's what I would do.

Question:

Would financials and consumer goods be a good place to be looking for beaten-down stocks with value now?

PFitzgibbo:

I think there are some real values in all of the beaten-down sectors. Even tech. I would look long and hard at consumer stocks for now, but I would also be prepared to move fast in this market if you can.

SageReba:

What is the difference of mind-set between a growth investor and a value investor? Is it more than just duration? Shouldn't we be moving into value at this point?

PFitzgibbo:

I think this is the time to move into value if you can stand making a little less, but are looking for safety -- aren't we all!

PFitzgibbo:

This is a market right now to be very, very careful with your expectations and it's not a time to be too greedy. Now is the time to, as they say in the

NCAA Tournament

-- Survive and Advance!

Question:

Thank you for joining us today Pat! We have been speaking with Pat Fitzgibbons, markets editor,

TheStreet.com

. Visit Keyword: TheStreet

PFitzgibbo:

Thanks very much everyone for all the great questions and I'll see you at

TheStreet.com

!