Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Nuvo Research Inc -- Ignore unavailable to you. Want to Upgrade?

To: Montana Wildhack who wrote (4143)	4/16/2000 10:47:00 PM
From: Tom Drolet	Read Replies (1) \| Respond to of 14101

Wolf: To support your upbeat mood and thought on the swan act by the Nikkei--here is a Bloomberg article just out. Even they read this thread stuff! " The Revenge of the Big Cap Groupies"--good idea for a movie! By the way--the Nikkei Index has not moved for some time--guess they halted the darn thing before it went down through the floor. Tom D. Sun, 16 Apr 2000, 10:42pm EDT Value Investors Take Message to Chat Rooms: `It's About Time' By Perri Colley McKinney New York, April 16 (Bloomberg) -- Value investors crowded onto Internet chat rooms this weekend with a message to their technology-obsessed rivals: It's about time. Technology investors who rode the Nasdaq's 86 percent gain last year and four previous years of 20 percent-plus gains got what they had coming to them on Friday, the postings claimed. The Nasdaq Composite Index sank 355.49 to 3321.29, its biggest point drop ever, losing 9.7 percent in the culmination of a week of losses that took the index down a total of 25 percent. ``The folks that participated in the speculation did so with their own free will and were fueled by greed and a lack of knowledge in many cases,' said one posting. Another admitted responsibility, saying ``we have ourselves to thank for running tech and Internet issues to astronomical levels that could not be supported in the face of no earnings or meager earnings.' Many of those participating in message board discussions on SiliconInvestor.com and RagingBull.com predicted the pain wasn't over for technology stocks, as the Federal Reserve appears likely to raise interest rates to curb inflation and slow economic growth. Few stocks were immune to the sell-off after the U.S. government reported the biggest pickup in consumer-price inflation in five years. The Dow Jones Industrial Average fell 5.6 percent and the Standard & Poor's 500 Index dropped 5.8 percent Friday. An Ugly Monday ``Monday morning may very well be incredibly ugly,' wrote a poster with the username 'Return to Sender.' ``It is highly likely that we will see another few hundred points lost on both the Dow and Nasdaq as early as Monday morning.' Username 'Rjp791' said sooner or later young Internet geniuses had to learn the ``value of a hard-earned dollar.' ``Today, 20-somethings bring an untested concept public and become instant millionaires,' Rjp791 said. ``In the past, your company had to prove its metal to be rewarded.' One investor, posting as 'MatrixInvestor,' countered that ``it is this young generation which is building the Internet, creating the new economy, stimulating growth and improving efficiency. It is those start-ups by the 20-somethings that revived the American Dream.' Most postings weren't predicting recession, just a return to more reasonable valuations and a resurgence in traditional value stocks and less speculative tech stocks. A few of the favored computer-related companies were International Business Machines Corp., Sun Microsystems Inc., Hewlett-Packard Co., Gateway Inc. GTW and Dell Computer Corp. Back to Basics ``It's time for fundamental analysis to take center stage again; reckless day-traders go home,' said one Silicon Investor user, who said his investing philosophy has always been to buy shares in undervalued companies. ``My hope is that people will take a more logical approach to valuing stocks and hold longer- term.' Wal-Mart Stores Inc. and Toys ``R' Us Inc. got top billing from a poster named 'Dafoxman.' ``What has become clear is that many of the `winners' in retailing will be from the old economy. The few pure internet retailers that do survive may find that a bricks-and-sticks approach of opening up physical locations will be necessary to compete against the established giants of retailing.' And one final piece of advice from an old-fashioned investor: ``People need to go back to being productive and not checking their stocks every ten minutes on company time.'