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To: Sonny McWilliams who wrote (25454)2/20/2000 9:28:00 AM
From: William Hunt  Read Replies (1) | Respond to of 27012
 
Sonny ---it is really starting to look where we have two different markets and the way they behaved . For discussion sake they are the NYSE and The NASDAQ .
The NYSE is around 10,200
The NASDAQ is around 22,000 ===5 x 4400=22,000
Their is a big divergence between the two and MR Greenspan does not feel that is good for the economy . GDP is running at 5.8 % and productivity is running at 5% for the last half of 1999 .
He is trying to bring the NASDAQ down with interest rates but it is not working .The reason for this is that most technology companies are using their stock as currency ( equity ) to make deals to buy other companies with to keep growing ( ala CSCO ). Another point is that most technology companies are knowledge intensive not capital intensive thus interest rates do not have have the same effect as with the manufacturing economy . Another factor that is really causing MR Greenspan nightmares is having budget surpluses while trying to raise interest rates and slow the economy . This situation has not happen in the last fifty years in the United States .
I do not know what will happen but the paradigm has definitely shifted and the FED does not know what to do about it . Inflation is no where to be found at present , long term interest rates should be going lower but the FED is raising rates to compensate for the budget surplus effect . If they did not raise the economy would be really going gangbusters . The real problem with this it makes the dollar stronger thus allowing the consumer to buy more goods with the same dollar thus increase spending . I only hope he does not damage the markets just to keep the NYSE and NASDAQ in the old paradigm .
Shifting to Wcom I was thinking of moving to FON and PCS to get the merger discount while we wait for it to go through ---at least we would be getting 20 % on our money until it happens .
Well that is enough for this morning---have a great day !

BEST WISHES
BILL

PS Qcom announced at the analyst meeting they would be debt free next month !



To: Sonny McWilliams who wrote (25454)2/20/2000 9:36:00 AM
From: William Hunt  Read Replies (3) | Respond to of 27012
 
Sonny --Where do you go to get help to use the new SI ?
I want to PM but cannot find out how ?

BEST WISHES
BILL



To: Sonny McWilliams who wrote (25454)2/20/2000 3:56:00 PM
From: Gerald Walls  Read Replies (1) | Respond to of 27012
 
Monday could be a fairly nice day for the NAZ.

I betcha $100 the Nasdaq will be unchanged on Monday.

(It's closed.)



To: Sonny McWilliams who wrote (25454)2/21/2000 11:47:00 AM
From: Yaacov  Respond to of 27012
 
Sonny, indeed thank you for the thread. I just checked it and it seems that the market will be back again on Monday! Looks good.

Now I know enough German to make out the article. Sure you
do too. Do you remember what I wrote to you about MSFT and
espiange. Well the story is too complicated, but there is fire where there is smoke!

Take care

Yaacov