SAN FRANCISCO -- Warren Buffett is not an idiot. The Oracle of Omaha has been ridiculed in recent years for not "getting" tech, but his investing style is looking awfully smart again after recent market action. Buffett's rediscovered genius seemed even more keen Monday as unsexy stocks such as Kroger's ( KR), Willamette ( WLL), and American Freightways ( AFWY) flourished, the latter two inspired by buyout developments. Meanwhile, growth names struggled again after Hewlett-Packard ( HWP) became the latest in the group to produce lackluster or disappointing results. Once as low as 10,369.74, the Dow Jones Industrial Average closed off 0.8% to 10,517.25. Similarly, the S&P 500 shed 1.1% to 1351.26 after trading as low as 1328.55. The Nasdaq Composite Index also bounced off its intraday low at 2859.39, but still closed down 2.1% to 2966.72, its first close below 3000 since Nov. 2, 1999. For those with short memories, note the averages produced a similar performance just last
Ray of LightSam Ginzburg, senior managing director of equity trading at Gruntal, is currently "shorting into strength
Step One: Remove BushelElsewhere, biotech and genomics stocks plummeted for no apparent fundamental reason -- the Amex Biotech Index falling 11.1%, suggesting its recent ascent may indeed have been a case of bubble-itis. "What you're seeing is exactly the same as in other sectors: In the absence of fundamentals, valuations get so overextended there can be -- and I hate to use the word -- a crash
Aaron Task chats on MarketER on Wednesday Nov. 15 at 5 p.m. EST. Join the chat via the top of RealMoney.com's and TSC's homepage.