Qualcomm Incorporated (QCOM) Message Board

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Technology Stocks : Qualcomm Incorporated (QCOM)

QCOM 159.59

-3.9%

3:59 PM EST

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To: DaveMG who wrote (14960)	9/13/1998 7:04:00 PM
From: kech	Read Replies (3) of 152472

Dave - Right - that is what the liquidity trap means. The drop from .5% to .25% doesn't do anything because it is the credit risk - i.e. getting the principal back, that drives any lending decision. I was just trying to say that I don't think that applies yet to the U.S. economy. Also, a U.S. cut also has an effect on foreign markets because it reduces the attractiveness of parking all those yen in the U.S., though it also drops the U.S. dollar and makes exports from Japan less competitive. Tom

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