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Technology Stocks : Amazon.com, Inc. (AMZN)
AMZN 239.63+0.2%3:01 PM EST

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To: KeepItSimple who wrote (54897)5/3/1999 9:49:00 PM
From: Gary Metzer  Read Replies (2) of 164684
 
KIS et al,

Re: That one thing will be a general market crash of 20 percent.
Goldman's IPO marks the top of this market, for the next 10 years.

But that brings me back to the question that continues to keep me in this market. With the economy so good, inflation low, full employment, high wages, etc. WHERE IS EVERYONE GOING TO PUT THEIR MONEY???? Is it going in a 5% bond? CD? I think not. We are in a new era of readily available information, investment knowledge, 401Ks, the internet; and I truly believe that the valuations we've seen in years past cannot be correlated with the valuations and returns we presently have. We've gone from a society loving the dividends a stock might provide us (presently 1.3% or so) to a love for capital gains and wealth generation through compounding of assets and stock valuations. No one can deny that the investment environment of 20 or more years ago is certainly different than it is now. If that is so, then why should valuation comparisons be the same also????

When the "baby bust" hits and the savings rate drops, THEN we have something to worry about. However, I believe that time is still a long ways off.

Open for discussion....

Gary
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