Hey Stock Bull,
Like others have said in response to your questions, don't panic! This will not become a full blown correction like last summer IMHO. There is too much money, economic conditions here a tops, Brazil needed to crash a bit to get with the program (much like Japan last year), Asia is slowly improving, and besides we are talking TWO % of exports, not 20%...everyone wants equities because that is where the returns are.
Notice this too: in all the selling over the past couple of days there was not a big crash in internuts...they are still WAY up from beginning of the year levels and especially from last summer...and the selling in the overall mkt was quite orderly...options expiration, IMO, is one of the reasons the mkt didn't bounce back (and won't 'til next week)...which is one of the reasons I am planning to buy more Dell tomorrow (for just under $75 when it briefly touches there before closing around 77 1/2). That's my crystal ball, which is not always as accurate as I would like it to be!
But I am sure that you shouldn't panic if you hold stocks like Dell, Intel, WorldCom, Cisco, Lucent, etc...On the other hand, if anything irrational starts happening next week around Brazil...look out internuts...that will sting. If that happens, however, Greenspan will step in and lower rates again because the mkt will have provided a reason to do so.
JMHO as always, sorry I haven't been in touch...have been too busy with the kids, holidays, etc...you know, the rest of life! Take care, GR |
