Market Wrap-Up for Sept.21 (AAPL, QCOM, CAG, more)

All eyes were on the Federal Reserve interest rate decision that wa due at 2:15pm Est. this afternoon. Although we didn’t expect a change in interest rates, it was interesting to see the D-word being whispered by Federal Reserve Chairman Ben Bernanke. The markets rallied off the notion the printing press would continue to run, but we did see the quick pop fade by the close. The market has been driven by an overload of momentum this month. One of the big winners is not a dividend play, but rather Apple ( AAPL ). I keep hearing the argument that Apple ( AAPL ) is still a cheap stock and Jim Cramer mentioned yesterday that you can use a “rule of 10″ – basically dividing Apple’s stock price by 10 and seeing how cheap the stock is at $28 and change. The point he is trying to make is to ignore the 3-digit handle on the stock price ($283 a share). The last time I heard someone use this argument was back when tech stocks were about to tank at the end of the 90s, specifically shares of Qualcomm ( QCOM ) . Once everyone bought into the “rule of 10″ thesis, the shares of Qualcomm preceded to add on several hundred points in a matter of a month and that was the top of the market. Apple shares certainly feel like Qualcomm back then. Everyone though the sky was the limit for Qualcomm and the company would be profiting from every cell phone sold, similarly to how many feel Apple will do these days with their runaway hit, the iPhone. This kind of action makes me nervous, so let’s hope we don’t see that sort of manic buying come in. That wouldn’

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Market Wrap-Up for Sept.21 (AAPL, QCOM, CAG, more)

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