There is blood in the streets right now and that is a sign that we are very very very close to the bottom. However, why would mutual funds that control the price of INTEL really want to put more money into the stock prior to the beginning of 1998? I do not see any motivation for the MF industry to pour billions into INTEL prior to the XMAS selling season prelim reports due the first week of 1998. If as I expect, the reports of the CPQ,DELL,MU and GTW's will be incredible, then we will see a resumption of worldwide purchase of INTEL and tech in general. The world not only the USA know the only place to safely place money is the goood old USA and they want to invest in household names like GE,CCI,MSFT and of course INTC. The FED will LOWER interest rates at the Jan meeting and that will be the stimulas that send the market above 9000 and off to 10,000 by 1999. The year 1998 will be a slowing of growth for all companies, notice I said slowing, the economy in the USA that is dependent on the world will only slow not contract. At this time in 1998, INTEL will be at 145 talking about a 2-1 split in April 1999, prior to introduction of Merced. I read an article a few months ago that stated that the projected growth of INTEL over the next five years 1997-2002 would be over 500%, at that time I could not see how the author could be wrong. I now still believe he is correct because the MERCED madness that will occur prior to the Y2K debacle will only reinforce the position of this money machine-------INTEL. I believe that their secret weapon is Y2K and corporate America answering the challenge of replacement of old big steel with sleek more efficient INTEL based UNIX servers. IMHO
williet |
