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Politics : Formerly About Applied Materials
AMAT 318.63-3.0%3:59 PM EST

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To: Kumar Nathan who wrote (4601)5/17/1997 12:17:00 PM
From: Tito L. Nisperos Jr.   of 70976
 
Kumar and All, as per my PsychoAnalysis:---the market is expecting a No Rate Hike in May. That's what the market wanted now; so it is what it is going to get. When Alan Greenspan hinted of a rate hike (to insure continued growth), the market reluctantly adjusted itself downwards. So he had to "oblige" the market to what it wanted! (Actually, Alan once said in a not too obvious way, that the Market is the one setting the policy for the Fed to follow)...

Why is the market so Optimistic? The Balanced Budget thing is what Alan has been yearning to see implemented in order for him to lower interest rates!...

If Alan raises rates next week, sure the market will go down in shock!...But later on, probably the same day or another day, the market realizes that everything done is for the better!---Investors are ready to pick bargains at every Dip!...

As for AMAT, the Dips are going to be shallow now that it is aiming for the 100s. Many of us are waiting for the Dips. As for me, I gave up yesterday the remaining 40 thousand I was saving all along!...Hey, my Options have 5 months to go till Oct, so why me worry?...
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