Classic TA Workplace Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Classic TA Workplace

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: AllansAlias who wrote (45575)	7/14/2002 2:05:39 PM
From: Haim R. Branisteanu	Read Replies (1) of 209892

Just to chart the price of an index which is sensitive to earnings inflation and unemployment rate is to simplistic IMHO. That would be right at a time that there were no pension funds, insurance companies issuing anuities and government debt issued as a result of less tax income. Today all those indicators are interlocked IMHO. For example low unemployment generates more buying power and more profit for corporation it also generates today more pension fund contribution and tax payment which has an impact on government debt and it's pricing which in turn affects the valuation of stock prices etc. Further inflation has a direct impact on interest rates and the pricing of stocks as an alternative investment. As such charting price only does not mean it reflects reality. In 1997 we had higher interest rates the world at large was more shaky than now (EEC & former Soviet Union, Mexico and Brazil) higher inflation and unemployment worldwide........... and much more optimists including Mr. Soros who lost big in EEC & former Soviet Union.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next