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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: Ali Chen who wrote (70291)	8/30/1999 10:26:00 AM
From: grok	Read Replies (1) \| Respond to of 1573268

This is from a cramer column this morning. He is writing about news stories which keep re-occurring: <Of all of the opportunities-by-same-old-same-old stories, the best is the chronic "Intel (INTC:Nasdaq) to cut prices" articles that happen every quarter. If you haven't followed Intel, when you see that headline your first thought is "uh-oh, they must be in trouble." But Intel's mantra is to cut prices. That's what it does. Regularly. That's Intel's stock-in-trade, to bring the prices of chips down, to make them more accessible to the consumer. Yet, every time this story runs -- and it has run dozens of times -- Intel gets hit. I stand there with a bushel basket each time. It always works. The corollary is "Compaq (CPQ:NYSE) announces price cuts." Every time this story runs, people panic out of the boxmakers. Again, when Intel cuts prices, these boxmakers cut prices. It always makes the tape. It always sends this group down. And I always buy them, because the price cuts are expected. What a great opportunity to profit off of news-headline hysteria! How about "AMD (AMD:NYSE) announces new chip that is better, faster and cheaper" than Intel's. Here's another old saw that gets treated with massive respect by journalists every time it happens. Makes me sick to my stomach. Intel is the world's greatest manufacturing company. Its plants are like wonders of the world. AMD is a crummy manufacturer; it has a hard time delivering on its promise. But Intel goes down every time we see this AMD headline. Another money-in-the-bank opportunity, because AMD will screw it up!>