Rande what is your opinion of what SEEK will do this week.
THE COMING WEEK: INTERNET VS. JAPAN
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The last full trading week of December will bring another surge in the technology sector lead once again by the hot internet stocks. On Monday Walt Disney and Infoseek will launch their new internet portal: www.go.com. Disney owns ABC and they can use it to promote the heck out of the Go Network. They have not only the television operation, but movie studios and theme parks. For Sunnyvale, Calif-based Infoseek, a popular but not quite top notch internet service, the Disney deal will deliver the dollars and marketing muscle that could potentially turn its brand into a household name much bigger than current industry leaders like Yahoo (YHOO) or America Online (AOL). One thing is for certain, the Go Network will keep the investing public focused on the high-flying internet stocks for at least one more week. Helping this cause is America Online's purchase last month of Netscape Communications (NSCP). This has triggered talks that other independent Internet portals will be swallow!
ed by big media companies seeking an entree or expanded reach in cyberspace. International Data Corporation says the Internet has 100 million users now, and will grow to 320 million by 2002. If your not investing in the internet in the coming week somebody else will be.
While the coming week will see a boost in technology and particularly the internet stock, the blue chips will have an international hurdle to get over. Japanese stocks are likely to remain under pressure this week as all eyes turn once again to the nation's ailing economy and banking system. Focus will be on the Bank of Japan's quarterly economic survey to be released Monday (23:50 GMT), Wall Street stocks and weekend reports indicate that troubled Nippon Credit Bank would be put under temporary state control. "If the market sees the nation's bad loan problems as deep rooted...and worries emerge over whether another bank will be nationalised, the market will respond negatively," said Susumu Inada, chief investment officer at Tokyo Kaijo Advisory Co. So the coming week might be the right time to realign your portfolio with a stronger weighting in the internet companies and a lighter weighting in the blue chips.
The following is a list of stocks that should move in the coming week due to breaking press releases after the close of trading Friday.
Walt Disney Co. (DIS) has weighed in with an online presence and plans to apply its legendary marketing brilliance to ensure its new venture is a big success. Disney and the Internet service Infoseek (SEEK), which formed an online alliance over the summer, on Monday will preview their new internet portal, the Go Network (www.go.com), which aims to become one of the most popular destinations online. Disney closed down 7/16 at 32 and Infoseek closed up 3 7/8 at 43 7/8. |
