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Technology Stocks : Compaq

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To: Windseye who wrote (31893)8/30/1998 6:11:00 PM
From: Loki  Read Replies (3) of 97611
 
Windseye...Emerging Markets....

Emerging markets have been and will continue to be overestimated
by investors. Asia or Russia does not have the infrastructure to
support the returns that investors (short term minded) are expecting.
The basis for fundamentals that exist in the USA for corporations have been honed for generations. This has not and will not happen overnight in markets that were "several generations" in the past only
a few years ago. However, USA's need to compete with other industrial nations for potential future markets will drive investors back again. Hopefully, more cautiously than before.

Any investment made to support or build a consumer
base in a needy nation has to carry with it tight controls
that will benefit American corporations in the future.
Unfortunately, I have not seen any corporate business leaders coming
together and influencing the IMF or other politicians who would
support financial support. The USA should not miss this opportunity
to expand its global economic "imperialism".

During the Asia Boom years Japan and S. Korea greatly restricted
American products from being competitive with local products.
(Example: S. Korea -- American cars had an over 100% import tax and
an almost certain investigation by their IRS)
There exists an opportunity to change these protective policies.

I would not bet on the emerging markets at this point since it
is extremely risky and information is far from transparent.
It is not only the economies that are shaky but some political
governments are equally unstable.

Loki
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