To: Larry Crumpacker who wrote (35233 ) 5/15/2000 7:10:00 PM From: Proud_Infidel Respond to of 70976
FWIW: Intel, Applied Materials Recommended by Guest on PBS' Rukeyser By Samantha Zee Owings Mills, Maryland, May 12 (Bloomberg) -- Intel Corp., and Applied Materials Inc. shares may climb as demand for computer chips grows, said a guest on ``Wall Street Week With Louis Rukeyser.'' Intel, in its first-quarter earnings report last month, said chip supply would remain tight at least through the second quarter. The world's largest maker of computer chips said it could have sold more if it had been able to make them. Santa Clara, California-based Intel fell 9/16 today to 115 and Applied Materials, the No. 1 semiconductor-equipment maker, dropped 13/16 to 84 7/16. ``There are going to be growth areas in the stock market and the chipmakers are growth stocks,'' said John Kim, president of Aeltus Investment Management, who expects the Federal Reserve will raise interest rates next week by a half-point in a bid to slow the U.S. economy. ``People will still put money in stocks, although the Nasdaq will be sluggish,'' Kim said. Investors seeking the ``broadest exposure to equities'' should consider buying index stocks, said another guest, Patricia Dunn, chairwoman of Barclays Global Investors Ltd. ``Instead of choosing a stock and trying to guess if it will outperform others in a sector, you can buy the entire sector,'' she said. Barclays Global, which oversees more than $800 billion, making it the world's largest manager of funds for institutional customers, will introduce 42 index funds through July that will trade on the American Stock Exchange. Dunn recommends that individuals put half their investments in an index fund. The index funds that Barclays Global is introducing will be cheaper to invest in than conventional index funds and be more liquid, Dunn said.