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.

Technology Stocks : All About Sun Microsystems -- Ignore unavailable to you. Want to Upgrade?

To: High-Tech East who wrote (32472)	5/31/2000 12:49:00 PM
From: jhg_in_kc	Respond to of 64865

i think the fed will engage in one more bout of intrest rate hikes, 1/4 of a percent on June 28 and then declare that the threat of inflation is diminished for the near future. the fed does not want to tighten further, particularly given the "tax" on the economy of hihger oil costs. the fed does not want to inject itself as an issue in the presidential election, that is, as a "threat to prosperity." technology stocks are where the growth of the US economy is to be found not in retail, or consumer goods, or automobiles, etc. the rest of the world is eager to use the technology and is behind the US in deploying it and profiting from it. I think the NAZ will resume a bull market after June 28. THe Fed will not tighten again on August 22, a little over two months from Election Day. With no further rate hikes to restrain growth (business and consumer spending) investors will begin buying leading technology stocks enthusiastically again. My favorites are EMC, CSCO, SUNW, RMBS, CTXS, MU and to a lesser extent, CMGI, RIMM, INKT, and INSP.

To: High-Tech East who wrote (32472)	5/31/2000 1:17:00 PM
From: Charles Tutt	Read Replies (2) \| Respond to of 64865

I agree with much of what jhg says, but have a few things to add: As long as employment remains high, 401-K and other pension money will continue to pour into investment coffers. Much of it is probably currently being sidelined, but that can't last forever. Furthermore, high employment contributes tax dollars that make paying down the national debt possible (see below). Real interest rates are already high. The strength of the dollar confirms that interest rates are relatively high. The Treasury is now paying down the national debt rather than continuing deficits; we are finally reaping the benefits of the "peace dividend," as well as welfare reform. The effect of this is to push interest rates lower. That's part of the reason we have an inverted yield curve. The Fed realizes that one of the main effects of high interest rates is to increase the interest burden on the government, which is (I think) the world's largest debtor. I doubt the Fed wants to make that burden much worse than it already is. What little inflation we're seeing is primarily oil price related, and that will ease as OPEC production increases. The bottom line is that the Fed will reach the end of their rope sooner than some think and things will turn around. I'm an optimist. All JMHO, of course.

To: High-Tech East who wrote (32472)	5/31/2000 1:31:00 PM
From: JC Jaros	Respond to of 64865

...what are YOU thinking, and what are your fears and hopes right now? --- The market climbs a wall of QwikSand. -JCJ

To: High-Tech East who wrote (32472)	5/31/2000 2:07:00 PM
From: JDN	Read Replies (3) \| Respond to of 64865

Dear Ken: Congratulations on your retirement. I hope that you enjoy it as much as I have. If your wife is not working and carrying your health insurance I would like to know what you are doing about health insurance. Thats been my biggest problem since retiring at 47 (now 56). Luckily, my wife enjoys her work and is much younger than I and is still working, but frankly, I would like her to retire so that we can travel more often. She does get 37 days a year paid vacation but still not as free as a bird like I am. But, have been unable to find suitable health insurance. As to my fears and hopes. My fear is some day you might be right, my hope is you wont be. (gg) JDN