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Strategies & Market Trends : Tech Stock Options

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To: Trey McAtee who wrote (50531)8/24/1998 10:24:00 AM
From: James Strauss  Read Replies (2) of 58727
 
Trey:

I agree with your point that many companies are using Asia as a poor excuse for their performance shortfalls... I also agree that psychology is playing a big part in the current market weakness... But the big multinationals get anywhere from 10 to 15% of their business from asia... After a while, that constant 10-15% drip drip drip could affect the bottom lines of the big companies... Beyond the economic impact is the possible political impact of Asian countries with weakening economies... Will there be revolutions? Will unfriendly governments come to power? This is where the big money will be concentrating their worry time... It doesn't take much of an imagination the see the possible replacement of Boris Yeltsen with a Communist hardliner... These kinds of worries moves money from one place to another in search of safety... This movement of money is what causes the upheavals in markets...

Jim
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