To: Jeff Jordan who wrote (31573 ) 5/25/2000 10:50:00 AM From: IQBAL LATIF Read Replies (2) | Respond to
Market has tested 1382 few times in last few days and with lot more uncertainity than today like China vote is out and GDP deflator came on line although growth was robust, the whisper number on GDP deflator was higher and that has rested few qualms about the future of the market.. the China vote will have some repurcussions on few good stocks so does a strong economy with on line GDP deflator, that tells us the shape of future corporate top lines to be healthy and add on to it the small thing that triggered the buying and caught the bears on the wrong foot was INTC decision to spent a cool 2 billion on CPU facility in New Mexico, the corporate psending is multiplying, the markets are expanding even China votes would mean more jobs for US workers, afterall you guys have a huge 'source' of intelligent exportable surplus which requires very little commoditt application and expense.. may be all this can be ignored for a short time but moving forward as I have repeatedly asserted that the ''non-inflationary growth'' has been the prime mover of this market and with that huge mountain of exuberance out of play on Comp as well as NDX 5000 to 3000. I think we will be alright, the momentum of selling has been seriously dented with failure of highly serious intrusions to break through the 1382 support..durable good order tomorrow according to analysts may be the key << If tomorrow's release of April's durable goods offers further evidence that the economy is slowing in response to the Fed's interest rate increases, there's a chance we could see the return of the bull market we've enjoyed in prior months>> So keep your fingers cross until we have some direction as to the impact of last few interest rates hikes.. I am in and biased toward a long trade, MSFT for me is built with 2 or three breaks that is not important, I know one thing that one company that benefits the most out of WTO is the MSFT, China supplies70% of all pirated software in the world and once under WTO they would have to mend their ways.. for software giant this is a blessing in disguise..
