Cisco Stock Sees Upsurge

Yesterday in after hours trading, Cisco (CSCO) beat out analysts earnings estimates and saw it’s share price spike up almost 4%. This spike was due in large part to corporations opening up their wallets for long awaited infrastructure upgrades and overhauls.

This is a very good sign as the market leader in business networking equipment is usually a pretty good bellwether for the IT industry, if not the national economy as a whole.

In addition, CEO John Chambers went on record today stating: “this sharp increase in capital spending is a precursor to jobs growth for the entire U.S. economy.”

I wonder what percentage of corporations opening their wallets received stimulus monies? It doesn’t matter to me, but finding out would be interesting.

Anyway, things are looking up in regards to our economy in spite of today’s 2 big employment dings. I see late April as an inflection point for the economy.

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Todd