Chemical/diversified industry

Stocks in the diversified chemical industry are untimely in early 1999 even though there has been some upward movement in stock prices since Nov 1998. Markets for chemical products remain weak in Eastern Europe, Latin America, Japan and the rest of Asia remain weak, although they remain strong in the US, but the responses of various companies within the industry, such as acquisitions and restructuring, will have costs, as well. Most of these stocks are expected to underperform the market in 1999, but several have above-average potential over the next three to five years.