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Strategies & Market Trends : Tech Stock Options

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To: AlanH who wrote (49900)8/14/1998 3:09:00 PM
From: Electric  Read Replies (2) of 58727
 
Alan,

I love a contrarian.

I agree with him that the foreign markets arent very relative to the US economy, it is a fact that we import much more than export, and thats ok, we are benefitting by lower prices and cheaper goods. It is in relation to the efficent economy hypothesis.

And lets get the word game straight, US growth is still accelerating at a decelerating rate.. that is different than to say that growth is is slowing. We are still increasing, but not at the clip that we have in recent years. Also the strength of the dollar weighs on pricing and that makes profits tougher to obtain, and competition is high, keeping inflation in check and pricing makes it hard to make a profit. eg sub 1,000 PC's.

I think things are still going strong, but PE's got out of hand in relation to historic levels. I also think that the sentiment is such that any bad news is reason to sell.

I agree with the bear that the net effect of all this hooplah is relatively small except the bond market..

BWDIK
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