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Technology Stocks : Amazon.com, Inc. (AMZN)
AMZN 232.12+1.6%3:59 PM EST

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To: GST who wrote (71721)8/4/1999 10:10:00 AM
From: Robert Rose  Read Replies (2) of 164684
 
<The missing (or only implicit) aspect in this article -- as with most of the people who
post here -- is the stunning lack of awareness of how serious these issues become when
a country is terribly dependent on foreigners for capital. This is a compounding factor.
US spending and 'investment' patterns create a trade deficit which makes us reliant on
the 'good-will' of foreigners to cough up enough in investment capital to offset the trade
deficit -- which is why we are so hyper, hyper sensitive to the changing interest rate
environment. If foreigners reallocate on the basis of 'better investment opportunities' as
the article states, they are inclined to consider moving their money out of the US to
protect themselves from currency risk. >

Ok, I'll bite.

We have been running bone chilling trade deficits for 30 years. Our federal budget deficits are declining. Rising interest rates attract foreign capital. China/Taiwan, impending Yuan devaluation, Kosovo, etc. all spell an uncertain global political and economic climate. The Internet Revolution wrings inefficiencies from our economy, making it the wonder of the world.

What am I missing here?
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