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To: pater tenebrarum who wrote (52774)	7/22/1999 6:56:00 PM
From: Robert	Read Replies (3) \| Respond to of 86076

Yep. I truly fear an apocalyptic-type outcome if the Japanese FSA whacks CSFB. The logical sequence: (1) Japanese FSA revokes CSFB's license on these bullshit grounds; (2) Western financial institutions and investors are shocked and scramble to get the hell out as quickly as possible, and cease all trading activity with Japanese institutions that is remotely derivative-like in nature; (3) Japan becomes an outlaw nation, financially speaking, and plunges into an economic depression; (4)the rest of Asia is dragged down with it; (5) last fall times 100 hits our financial markets, at a time when we are already extremely vulnerable . . . Well, you all get my drift. Fucking scary stuff. (scary enough for me to avoid using asterisks) Let's all hope the Japanese do the right thing and this all goes away. Unfortunately, I am not that hopeful. -- Robert

To: pater tenebrarum who wrote (52774)	7/22/1999 7:06:00 PM
From: Robert	Respond to of 86076

BTW, PEI issued a special report on Japan this morning recommending that investors get the hell out NOW: pei-intl.com Nikkei Time to Sell Princeton Special Report Service Princeton Economic Institute © Copyright July 22nd, 1999 -------------------------------------------------------------------------------- The following is a special report service provided by Princeton to alert clients of impending disasters. We do not abuse this service and sometimes there may not be a report for a few months. However, went we do issue such letters of caution, they should be taken seriously. In this particular instance, the Nikkei Shinbun reported that Princeton had issued one of these famous special reports and claimed that this had an impact in Japan. The last such major special report was issued by our Tokyo office on February 16th, warning that the dollar had reached a bottom and that a move back to 123 was now likely. The dollar/yen opened that day at 115.60 and closed at 118.73. It reached 123.75 by March 4th 11 days later. -------------------------------------------------------------------------------- PRINCETON ECONOMICS INTERNATIONAL JAPAN SPECIAL REPORT 8AM Tokyo Time July 22, 1999 The Nikkei is starting to weaken and a break below 18110 today may start a correction process. The foreign investors have been responsible for this rally and Japanese should continue to use this opportunity to unwind their cross-holdings. With Y2K coming, all stock markets may come under pressure as capital takes a pause for year-end. Europe and America also show signs of a topping pattern. A break below 17825 on the Nikkei will warn of a drop back to 16500 as a high probability by September/October. Press reports about the FSA outside of Japan are becoming very negative and this could cause foreign selling of Japanese assets. Also the aggressive intervention to prevent the yen from rising is causing FOREX losses for those who bought the Nikkei when the dollar/yen was 112.50. This combination of trends does not look good at this time. Our major Bullish Reversals between 18500-18775 are very important. Clients should take profit now and only go back into this market if the Nikkei moves above 19000.