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Technology Stocks : KLA-Tencor Corporation (KLAC)
KLAC 1,400+5.7%Jan 9 9:30 AM EST

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To: Jacob Snyder who wrote (903)1/29/1998 6:57:00 PM
From: fred woodall  Read Replies (1) of 1779
 
ML lowered its estimate for semiconductor equipment growth in 98' citing declines in spending by Korean, Taiwanese & Japanese chip companies.
Research Note: Industry would show zero-to-5% growth in 98'. down from an earlier projection of 5% to 10% growth.
However increased spending estimates for American chip companies to 15% to 20% from 10% to 15% based on recent projections by some semiconductor manufacturers. Also noted American chip companies could lower that rate because of lower revenue during the year.
Maintained its intermediate-term neutral rating on 16 chip-equipment companies but projected that earnings ests. would "have more to come down".

Looks like the 34. support level will be tested.
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