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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: Scumbria who wrote (112203)	5/23/2000 5:56:00 PM
From: Mani1	Read Replies (4) \| Respond to of 1570341

Scumbria, lets stick with established, audited numbers. Not with what you hear from so on so. According the BTB just released, the growth in the semi equipment has decelerated slightly. This is fact and not open to argument, I do not publish the numbers. I am just telling you why the semi's took it on the chin today. I do think that this recent deceleration is OK, semi's could (and should IMO) to show a sustained growth for the next few years and according to this prediction they are undervalued as a whole, and AMD is even more undervalued since it is cheaper than the sector in general. Re <<I am not a person to assign blame, but I'm starting to view AG as a disaster in progress>> That does not make sense to me. Mani

To: Scumbria who wrote (112203)	5/23/2000 6:10:00 PM
From: niceguy767	Respond to of 1570341

Scumbria: Current inflation is derived from two major sources imho...oil and wealth effect...The price for a barrel of oil that has risen from $11 to $30 in one year necessarily must result in inflationary pressures on any economy dependant upon oil as one of its primary drivers...The wealth effect resulting from any significant increase in net family paper wealth i.e. from revaluations in domestic homes and investments increases the volume and dollar value of purchase transactions... Over the past year, the wealth effect in some ways has offset the oil price increase effect as the consumer has increased wealth with which to offset increased oil based purchases... The wealth factor, as indicated by the nasdaq and DJ indices, has now turned negative while oil prices remain high. The wealth effect can no longer offset the negative oil price effect as it has over the past year...and I agree with you that such an environment could easily and quickly drive North America into recession...The latest 1-2 point increase was wholly unecessary given the moderation in wealth effect increases that were evident by the levelling off and declining markets...The boo.com's of this world with their impending and significant problems were already apparent to almost everyone and the marketplace was already addressing them rationally...the 1-2 point increase was overkill and it may be much more difficult to restore consumer confidence than Mr. Greenspan bargained for...Overheated breaking symtoms were already apparent prior to the latest 1/2 point increase, imho!