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Politics : Formerly About Applied Materials
AMAT 261.28+0.8%Dec 15 3:59 PM EST

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To: Ian@SI who wrote (47082)5/22/2001 11:09:13 AM
From: michael97123  Read Replies (2) of 70976
 
Ian,
Definitions of recession are largely irrelevent. We went from rapid growth to no growth and this probably was more precipitous than an official recession. I fear we might be in slow growth mode for longer than the bulls expect. The question is how long will it take for bulls to recognize this occurrence, if in fact my fears are correct. Until then the market should do well. It will be really hard to justify high multiples in an extended(2002) slow growth scenario. Add high energy and higher inflation being fortold by gold and treasury bond prices and we have a problem My hope is that my fear is wrong and the reality will be a quicker recovery. At some point though higher stock prices will make me more cautious about the markets as this plays out. mike
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