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Strategies & Market Trends : Zeev's Turnips - No Politics

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To: Zeev Hed who wrote (4303)11/8/2001 7:09:09 PM
From: Jdaasoc  Read Replies (1) of 99280
 
A rate of return of 2% is equivalent to a PE of 50 (once again, .......For instance, if money markets yield 5%, a PE of 20 is required to compete

AG has bestowed us with lower interest rats and AG will have to take away these rates sometime in the future.
I can't see him raising rates until S&P and DOW are somewhere where majority of people with 401Ks are very happy with a positive rate of return on a year to year basis.

We haven't even got a point in S&P where we started to cut rates from 1240 S&P.

You can't have commodity and wage inflation until you have product shortages, 5-6% positive GDP and rapid earnings inflation.

So, your talking about to the moon in late 2001 early 2002 which one can easily see why.

We are really getting carried away about ST bear market corrections this week. There must be a lot of actual pain, regret about a missed long opportunity and proud breast beating by those with realized and unrealized profits.

It brings out the worst in human nature.

I have to believe that upside has long way to go over a fairly long time; 3-4 months.
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