The market has been happy with the first-quarter results, but why? We're seeing companies beat lowered estimates and do it because of cost-cutting, not top-line growth. Unless the earnings start to improve, the economy picks up, this market is going to continue to be too richly valued.

The economy's problem is not interest rates; it's that there is this global concern about terrorism. In this scenario, investors and risk-takers are saying, 'Why should I get in the middle of this nonsense; I'll wait on the sidelines'.

This has really become a spectator sport. When your team is up everyone is in the stands cheering and when your team is down, people are on the sidelines. But euphoria about the war going right and depression about it going wrong represents a very short-term view of the market.

I do think this is a lull in the market rather than a new bear trend. One month does not a trend make.

I don't really see anything substantial that could derail this market right now.

Higher energy prices, new fears of terrorism, some profit taking after the previous rally -- all of that is why we've come back from the late January, early February levels.

I'm somewhat in the cautious camp. The rally may continue, but this is exactly how we felt in 1999 and 2000 before we started questioning earnings. I feel there is going to be a reality check somewhere.

Their story is programmable chips. When you get on that cellular phone, you want your high-speed communications and everything else. They are the heart of cellular communication devices, these programmable, customizable chips.

At the peak people were throwing money at anything, regardless of the fundamentals. Now you have the opposite. There are good companies and some decent bargains out there, and people are completely ignoring them with all this panic.

It's like (Dickens') 'A Tale of Two Cities,' 'it was the best of times, it was the worst of times,' ... If you get away from the stock noise, the economy is recovering, manufacturing is picking up, you've got the services report this morning. But the market just wants to ignore this information.