To: ISOMAN who wrote (20843 ) 6/8/1999 12:51:00 AM From: Tunica Albuginea Respond to of 41369
isoman:From the Street.com: today's events in perspective. This IMO is the best take on today's action. Nothing goes straight up in the market. AOL and the ISPs had a nice run Fri. They pulled back today.Probably profit taking and weak hands. it is that simple, TAthestreet.com A late participant in the rally was Excite@Home (ATHM:Nasdaq). The high-speed Internet service provider saw follow-through selling early in the day from Friday's court ruling in Oregon that requires AT&T (T:NYSE) to open its high-speed cable networks to competing Internet access providers in the Portland area. Excite@Home is controlled by AT&T, and its stock valuation is largely based on the exclusive rights it owns to offer high-speed Internet access through its cable company partners. Excite@Home traded to a low of 87 early in the day. There still is much uncertainty over whether the ruling will be overturned on appeal or whether it will set an influential precedent. That uncertainty allowed Excite@Home to bounce back and close up 9 1/4, or 10%, at 103 3/4. In a research note today, Credit Suisse First Boston analyst Kristen Koh wrote that, even if the open access requirement were to become a national issue, the ruling "in and of itself does not affect Excite@Home, since the exclusive contracts with its cable parents are likely to expire (2002) before the legal procedures, technical investments and economic negotiations run their course." America Online (AOL:NYSE), which was made out to be a winner following the ruling and closed up 10 3/4 points on Friday, dropped 3, or 2.5%, to 115 today. "We believe -- as has always been the case -- that the parties involved are likely to come to an economic agreement (quickly grow a gigantic pie and split it) rather than give control to the federal courts/agencies for a process likely to span many years," wrote Koh. Two other ISPs seen as winners on Friday also fell today. Earthlink (ELNK:Nasdaq) closed down 5 1/16, or 8%, at 53 15/16 after gaining 8 points on Friday, while Mindspring Enterprises (MSPG:Nasdaq) closed down 4 1/4, or 5%, at 75 1/16 after gaining 14 points on Friday. ------------------ you saidHere is my take on today... First it opened at $119.50 then it went as high as $120.50 Later it dropped as low as $113 and change. Finished at $115 My prediction for tomorrow.... It will go up and down, and then close at one price.