Sam - On a semi-related topic - an excerpt from Ed Yardeni's site...
"COMMENT: You never know for sure if a bubble is a bubble until it bursts. Fed Chairman Alan Greenspan said it best in his June 17, 1999 Congressional testimony: "But bubbles generally are perceptible only after the fact." In my opinion, the bull market in stocks isn't a classic bubble, as Mr. Greenspan has suggested this year. In fact, it is more accurate to say that a very narrow new economy bull market has masked a very broad old economy bear market since the middle of 1998. Rather than one bubble in the new
economy market, there have been several bubbles that are now bursting, or losing some air. I see this as a healthy development that is now pumping some oxygen back into the undervalued old economy stocks, especially in the energy, retail, and finance sectors. Some blue-chip global consumer staples and drug names should also benefit as more modest, but more predictable earnings growers come back into fashion. The economy experienced rolling recessions in the 1980s, and has exhibited more stable and uniform growth
since the early 1990s. Now, we are seeing rolling corrections in the stock market, which defies easily labeling it as a bull or bear market."
yardeni.com
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I've gotta run, but I will re-post some of his analysis on technology, and its place in the economy today. He doesn't say anything in these analyses, just posts graphs - but they're fascinating.
The point here, (David, are you out there?) is that investment in communications infrastructure, hardware and software, is growing at an astounding pace. |
