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Technology Stocks : America On-Line (AOL)

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To: Tunica Albuginea who wrote (21342)6/11/1999 9:41:00 AM
From: Steeny  Read Replies (2) of 41369
 
TA, I don't see much inflation either, but there will be a raise of 25bps nonetheless. Fed doesn't want to be considered behind the curve. I and you don't know where it goes from there. Q2 consumption on track to grow 5%. This is not benign enough for the Fed. Japan GDP #s grew 1.9% after dropping almost 1% last year. This stunned many economists. Shows Asia recovering quicker than some had thought. We have argued about all the recent #s before. There were enough strong #s to make all the funds stop and see what the Fed will do. IMO, this has caused the tech selloff. There will be no recovery until we see some very benign #s. Look at a graph of AOL in '96 vs the rising bond yield.
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