Tom Dorsey Q&A Part 7. Wednesday, Feb 18
Q) Can you talk about the effects each of the following may have on the market ?
1) If the US were to bomb Iraq.
A) Probably make a new high. Hell, it's in the TV Guide now when we attack isn't it?
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2) If President Clinton is found guilty of the charges involving Monica Lewinsky and he is (1) impeached or (2) resigns.
A) I can only remember disaster when John F. Kennedy was killed. the market went down for a day and then straight up. It really depends on what the economic circumstances are at the time. The market will do what it wants.
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Q) How much of an effect will Asia continue to have on the US stock market and have we seen the worst of its effects on US companies already ?
A) The first half of the hurricane has come through. We are currently in the Eye. The back half is probably still coming. They are printing money like crazy and you know what this means. Inflation.
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Q) Do you see any chance of the US entering a period of Deflation ? Can you explain what deflation really means both to Main Street and to Wall Street ?
A) It think deflation is out of the question. Our money supply is rising at an alarming rate. Inflation is a case of an increase in the money supply. In my humble opinion, forget deflation. Inflation is the problem coming up.
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Q) His ideas for sectors about to rotate positive or negative. And those with the most potential coming up.
A) Leisure, Latin America, Non Ferrous Metals, Oil, Oil Service, Steel/Iron, Waste Mgmt., Healthcare, Biomedics/Genetics, Textiles Apparel are all below 50% and that 's about it. We are beginning to skew to the overbought side of the equation now. It's going to get tougher.
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Q) Do you know of any PC software that graphs P&F charts from the Worden brothers' Data source? I have been a long time fan of P&F but am tried of plotting by hand. Thanks. Ken
A) Ken go to our net dorseywright.com it is as cheap as having to download all these stocks anyway. Or the best we know of is RTR Software in Raleigh North Carolina. They have the best system for those that want to download each night, etc.
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Q) For Tom Dorsey: What is the meaning of life?
A) To strive to be the absolute best at every endeavor you undertake. When you find a goal, the key to reaching it is to make sure every step you take is in that direction. Try to do something special, what ever it is.
Be the person in your profession, your peers come to for answers. Teach someone else to be as good as you are at your particular specialty. Make sure you leave something behind. Always try to give back to your profession, others need the same opportunities you have had in the past. |
