Jacob,
re: "Longterm, yes, storage has to grow, and at a rate faster than for just about any other product. But......if consumer spending falls off a cliff in 2001, like business spending has, then we get a recession this year. Do you really think EMC's results will improve, if that happens? And, if inflation goes over 4% in 2002, and the Fed starts raising rates as aggressively as they lowered them in 2001, then stocks (especially growth stocks) aren't going to recover till........2003."
Lot's of ifs.
Personally, I think we are in a recession right now. We are certainly in an IT recession right now. Funny about recessions, those have always been the best time to buy equities.
Will it be 2003 before stocks recover, I don't know and you don't know. So if you feel uncomfortable with uncertainty and risk, cash or CD's are the way to go. But some would rather be optimistic, take a WAG that things will get better in six months or a year or two years, and figure we'll make a few bucks buying while other folks are selling.
John |
