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.

Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: Terry Maloney who wrote (81082)	5/24/2000 10:10:00 AM
From: Earlie	Read Replies (2) \| Respond to of 132070

Terry: If I knew the answer to that one, we could both retire in the very near term. (g) I'm not sure, but it seems as though they started with the "low-life" internet types, then migrated up that chain. They have also been munching away at the lower level semis and even a few PC related types, which is also encouraging. When they dared to kick Cisco down the stairway, then at that point I began to feel that no cow is now safe from a trip to the abbatoir. Several items provide me with enormous confidence in the general southerly direction of the markets for the next few months at least. Earnings growth, which has been crummy now for many quarters, is really tipping into the tank. Additionally, the accounting cleanup is going to have a very nasty impact on the reported numbers of many firms for the next few quarters. Finally, the massive losses that have already been inflicted on a large segment of the population by this market are already starting to have early stage impact on the general U.S. economy. There will be the normal 6-9 month lag before it becomes apparent to the unwashed, but it is already underway. That, plus the rising rates will slow the economy rather more than anybody is expecting. None of these things are good for the stock market. If one then factors in the normal over-correction that huge margin calls typically engender, it makes for a delightful environment for bears. Best, Earlie