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Strategies & Market Trends : Market Gems:Stocks w/Strong Earnings and High Tech. Rank

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To: Jenna who wrote (74231)12/4/1999 10:36:00 AM
From: Internet Jones  Read Replies (1) of 120523
 
I can see people backing away from floating corporate bond issues near the end of the year, because of worries about the Y2K problem, while government revenues go to a record, the Fed holds steady because of worries about Y2K, interest rates drop because of lower demand for corporate credit and government credit, short sellers bet on lower stock prices and are squeezed, and the US is seen as a safe haven in case of Y2K, causing foreigners to buy US bonds near the end of the year. Bonds rally. Financial stocks rally spectacularly. Online brokers rally. The squeeze elevates stock prices. Happy New Year.
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