Morning Update

"Success comes to those who are to busy to be looking for it." - Henry David Thoreau

Morning News of Note:

• C: Heard on the Street: Citigroup Sells Its Asset Management; Will Others Follow? The decision of Citigroup Inc. to largely abandon the asset-management business and beef up its brokerage operation could force other Wall Street firms that select investments for clients while also peddling house-brand investment funds to consider similar moves. On Friday, the New York financial-services company unveiled a long-anticipated plan to swap the bulk of its asset-management business for the brokerage operations of Baltimore-based Legg Mason Inc., plus about $1.5 billion of Legg stock. Citigroup also will provide a $550 million loan to Legg Mason. (Full Story) WSJ
• AAPL: Bites Off the Apple THE IPOD SHOWS WHY Apple Computer is a great company. With elegant hardware and friendly software, Apple's portable player made a profitable business out of digital music -- a trick that had eluded record labels and such erstwhile leaders as Sony, Microsoft, Real Networks, and Napster. In the last year, the iPod has become Apple's best-selling product, bringing in a third of revenues for the Cupertino, Calif., firm. The iPod "halo effect" has lit up interest in Apple's Macintosh computer and Apple's stock (ticker: AAPL). (Full Story) BARRONS
• SKYT MNCP: For a New Cellular Play, Opportunity Is Calling A NEW FORCE IS EMERGING on the U.S. cellular scene. It's Mobile Satellite Ventures, a little-known company that could have a significant impact, despite the widespread perception that the industry is moving toward concentration among just four major carriers: Verizon Wireless, Cingular, T-Mobile and the likely combination of Nextel Communications (ticker: NXTL)and Sprint (FON). Mobile Satellite Ventures received approval from the Federal Communications Commission earlier this year to construct a nationwide wireless network with both satellite and terrestrial components. The existing wireless carriers use earth-based networks. (Full Story) BARRONS
• DOW: Good Chemistry DOW CHEMICAL SELLS its wares to a staggering array of industries -- agriculture, medicine, construction and transportation, to name a few. Its products run the gamut from latex and styrofoam to chlorine and pesticides. Little wonder, then, that the chemical giant's shares rise and fall with the perceived might of the global economy. That's why the past three months have been a downer. (Full Story) BARRONS
• MNST: A Friendly Monster AS THE LEADER IN ONLINE RECRUITMENT, Monster Worldwide controls one of the better Internet businesses and could prove an appealing target for a number of media and Internet giants. That was our premise a year ago in a cover story on Monster ("Work in Progress," Aug. 23, 2004) and it still holds true. The difference now is that Monster shares have appreciated to 27 from 18, giving the company a still-digestible market value of $3.3 billion. (Full Story) BARRONS

Market Comments: The market is set to open fairly flat, following a sharp 2-day selloff at the end of last week. I think that the market will bounce this week into quarter-end (window dressing), but I would use that strength to lighten up or raise some cash. (see my comments from this weekend's Weekly Sentiment Review)

long C, DOW, MNST