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Technology Stocks : INTEL TRADER

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To: MonsieurGonzo who wrote (10605)12/10/2001 4:37:10 AM
From: Berney  Read Replies (2) of 11051
 
MG, I suppose I continue to be an optimist at heart.

Your points are well-taken; however, I'm not yet in the camp that allows me to consider that ramping up of monetary and fiscal policy can attract a deflationary state.

Obviously, the swamp's hospitality industry is screaming. However, my youngest talked me into going to Universal Studios about a month ago, and the lines were horrible. Those hour waits reminded me why I avoid such places.

I believe that the two hidden problems are: 1) Ford's announcement of this huge loss due to collection problems, and 2) the time-bomb of pension costs. As to number two, this article is interesting:

marketwatch.com

I recently looked at 33 of the the 2000 annual reports of the Big Boyz that had defined benefit plans. On average they were using an expected rate of return of ~9.5%. The lowest was MER at 7.7%; the highest was LLY at 10.5%. As they bring this number down, the costs are going to be huge!

TB
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