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Technology Stocks : The New Qualcomm - a S&P500 company -- Ignore unavailable to you. Want to Upgrade?

To: Boplicity who wrote (10525)	5/21/2000 4:33:00 PM
From: puzzlecraft	Respond to of 13582

I understand that, which is why I dropped the PE figure from the post's exhilarated 110 to 50. 50 may be way too high, I don't know. Anyway, I figure the Internet revolution, and it is a revolution in my opinion, is continues to be good for a premium over "traditional" multiples. The Fed's continuing campaign to increase interest rates affects the discounted cash flow method of valuation, I know. The Fed I can't figure out, in the earlier oil shocks, inflation came as a somewhat of a consequence of increased oil prices rippling through the economy (the "oil shocks") and the rates were raised, but the "fault" for inflation was externally based although the punishment was meted out anyway. This is happening again - also the campaign to stamp out the "wealth effect" of the market could be more narrowly targeted by raising margin rates - perhaps the Fed's irrationality is its best weapon as the fear of loose cannons on the Fed deck has the most desired effect of creating nervousness in the markets.