Paula Jone's on INTC & the markets? Will abnormality help VVUS!Larger
perspective of Global economy!
Chris- This is an intersting post on Pauls Jone's affect on markets.
Subject: MR./MS. MIDAS TOUCH OF SILICON INVESTOR
To: +Robert Graham (2572 )
From: +IQBAL LATIF
Jul 15 1997 4:23AM EST
Reply #2574 of 2574
George- I think smooth transfer of power has made a very positive impact on
South East Asian region. Yes, it is premature to say that we will not see problems
down the line perhaps may be, however in my opinion Chinese leadership has
acted so far with restraint and commendable positive attitude, not that I condone
suppression of human rights but I know what democratic alternate means for
massively populated countries.The gradual transition towards freedom and respect
of human rights is an irreversible phenomenon.
Our concern with political analysis is restricted to identifying areas where we
expect commotion or upheavel that can put global economy or growth at stake, I
am not concerned with leadership priorities but I am happy that Hong Kong
transition looming like a dark cloud over immediate future of global financial
markets has lifted.
I have reasons to believe that this conduct is not a forced acceptation of a given
situation- Chinese leadership is vying for the bigger apple and they would make
sure that they behave in a manner acceptable to world at large.When I comment
on INTC with a reference to global developments I need to be brief and say many
things without saying, you have rightly picked that some assumptions are
general,but please do appreciate I am not teaching political science here, we look
at events and draw conclusions that may help us keeping our direction right. Mr
Byron Wein OF MS has a list of events and this list highlighta risk profile and how
much a certain event can bear on market, on my list I had Hong Kong on the top
for this year.
One of my friend who happens to work in California has written to me about East
coast establishment worries on some charges sticking on the President in the fall, I
have even Paula case in mind when I talk of market directions, if Paula Jone's
testimony on 'What did she see?' reveals really some unique features which the
President physically has, then for sure such a testimony will turn this Presidency to
lame-duck discussion of abnormality (may be good for our stock VVUS) that alone
can be a great negative. I wish the President features are normal otherwise 'big or
small' abnormality would mean impending 'big'trouble. Here I am not concerned
with what Paula Jone's has to say, I am worried about immediate consequeces for
the markets.It is under this context I find and raised issues in my posts.
On INTC- I think I have written on this in terms of contents a lot of posts and if
you have time you can read all that.I know fund mangers who were calling IBM
expensive at 65 and sold INTC to 50, I bought INTC warrants my largest position
im my portfolio at 23$- not in a very distant past, this was soon after that rumour
of problem with pentium all courtesy Fund Managers. I would rather listen to my
learned friends on this Silicon Investor than base my decision of someone who
knows little about every thing but nothing about the big picture.
The risk factors your fund managers considered gave me unique oppotunity to
enter in one of the best investments decision of my life, that much for how much
risk the managers calculate.INTC can go down but to sell it at 23$ was a crime,
what about recent decline in networking within less than nine months Asnd&
Coms is a buy anyone could have a go at them at 28$'s, so please lets us not talk
about what I & you think of risk profile calculation, from what I have quoted
above as a concrete evidence of fund manger's activities I don't think there is
anything to write home about
Global Markets- If you subscribe to Banker's Credit Analyst and go thru it you will
see what I am saying in its context and magnitude,I am seeing for the first time
France coming out of recession same for Germany, the stock markets are showing
signs of strength noy on euphoria but earning based - Capacity utilisation after
years of downward trend is now inching up- unemployment the curse of European
economies san UK is now being tackled, Masstricht covergence criterion that has
taken a big tool and induced deflation atleast had brought some cap to runaway
inflation and tax and spend policies, in the developing world they need new power
and it is projected that a huge sum of 3 trillion $'s will be spent on infrastructure in
next 5-8 years( WB & IMF repots).This is unprecedented event in history of
mankind that in such a short time so much shall be done and by so few- Most of
this infrastructure means business for Caterpillar GE and ofcourse Techs, so I will
invite you to discuss this issue in details on my private e-mail instead of discussing
it openly on a thread which mainly caters for 'making money in & out.
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