Evening PS II

Futures are down 3 handles to FV, but it is still early.  I would expect a them to uptick starting at 0400 EST.  BofA/ML out with a negative CAPEX call into earnings.  Hard to be long anything levered to US CAPEX.  I would be seller if I owned anything networking stocks levered to US CAPEX.  I think growth companies like APKT, FFIV and BSFT are okay for now.  Would be a seller of CSCO, ERIC, TLAB and ARRS.  All for different reasons.  CSCO is in a management turmoil.  Wikis and councils get an F-.  It will take time to sort.  TLAB has a negative product cycle and too much leverage to T to be a long.  Not enough spending by cable companies to drive ARRS higher.

– GC