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Strategies & Market Trends : Roger's 1997 Short Picks

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To: Jim Rathmann who wrote (4427)8/1/1997 8:01:00 AM
From: valueminded   of 9285
 
Jim/Roger & Others:

These figures: price to book, price to earnings, and dividend yield have been mentioned for the past 2 years. The public is convinced that stocks go up so the rest is irrelevant. Hindsight will eventually show this period to be over priced but that will only be evident when individuals realize there is risk in the market.

My questions are: what to do in IRA accounts. (they will not let you short in those accounts) and what to do in the trading accounts. I forsee little changing in the market until the "main event" . Currently, we have a "pretty good world" strong dollar makes investment in US good from foreigners, it also reduces costs of their goods and keeps "inflation" in bay.

An interesting scenario is when that trend reverses. i.e. Dollar is reduced in strength followed by money leaving US for stronger currencies followed by inflation picks up sinc we buy much from overseas followed by rate cuts which just aggravate the above. Until that happens, I see little that will change. (imho)
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