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Technology Stocks : Cymer (CYMI)

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To: Gary Metzer who wrote (16719)4/18/1998 10:05:00 PM
From: WTSherman  Read Replies (4) of 25960
 
Gary, best of luck with your strategy of infinite gains. I would suggest that you might want to remember the great "bubble" economy of Japan during the 80's and early 90's. Their market reached 39000 pts before the bubble broke and it bottomed out at 13,000. If you read Japanese newspapers of that time you would find virtually the same logic that was in your post. An incredible amount of wealth was being produced and it had nowhere to go. It rather sudddenly all stopped and investors who saw that they had a huge "paper fortune" decided that they would like to make those fortunes more real. So they sold and sold and sold.

I'm not saying that is going to happen here, but, throwing out any logic basis of for valuation of equities will sooner or later bring a sad and sudden awakening to reality.
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