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Strategies & Market Trends : Waiting for the big Kahuna -- Ignore unavailable to you. Want to Upgrade?

To: robert b furman who wrote (45619)	1/15/2000 5:55:00 PM
From: Lucretius	Read Replies (1) \| Respond to of 94695

oh like it helped Brazil? -g- higher rates means a slower economy which puts a drag on stocks which is the only thing holding up this POS currency. you can't have it both ways, the US financial system is not a perpetual motion machine; we are subject to the same laws of finance as the rest of the world...

To: robert b furman who wrote (45619)	1/18/2000 7:48:00 AM
From: Mike M2	Respond to of 94695

Bob, lower U.S. interest rates have been a major factor in increasing corporate profits ( see Martin Barnes of The Bank Credit Analyst interview in Barron's). I don't recall the date but it was several years ago. Rising rates will reverse this trend. Many consumers have adjustable rate mortgages. One critical point which is ignored by Wall St is that corporate share repurchases have exceeded earnings ( they use debt for repurchases ) In 4Q 98 corporate shares purchases equaled 125 % of earnings. Mike