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Technology Stocks : Full Disclosure Trading

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To: Sam Citron who wrote (8940)5/7/2004 7:31:07 AM
From: Sarmad Y. Hermiz  Read Replies (3) of 13403
 
>> At some point rising "hatred" of US (to use Friedman's term) could be expected to spill over into purchasing behavior by businesses and consumers.

Sam, there is an objective method to measure the effect on the US economy. That is the employment level in the US. If demand for US goods is falling, then employment in the US would fall. If the stock market drops when employment level falls, I think your point is supported.

However, just the opposite is happening. The market drops when employment rises. That is the problem. And the ONE AND ONLY possible negative effects of rising employment are higher wages followed by higher interest rates. But we are no where close to problem levels in those areas.

I believe the market is just being perverse. Deficits should be the worry. Higher employment reduces deficits. Which should help the dollar, and help stocks. At this point higher employment cannot possibly be bad for company earnings. Eventually, they'll see it my way. Until then, I'll just have to suffer, I guess.

Sarmad
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