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.

Strategies & Market Trends : Trading the SPOOs with Patrick Slevin! -- Ignore unavailable to you. Want to Upgrade?

To: Gersh Avery who wrote (6030)	7/19/2000 6:43:08 AM
From: Patrick Slevin	Respond to of 7434

60 bucks? Yeah, you almost have to position trade due to the fact that you need a lot to break-even. This market has been hard to position......of course it's always been hard for me to position trade.

To: Gersh Avery who wrote (6030)	7/19/2000 8:33:25 AM
From: Patrick Slevin	Read Replies (2) \| Respond to of 7434

By chance I received an e-mail from a fellow named James Smith which included stuff about the Yen and Japanese rates. The folowing is excerpted, I hope I'm not violating a copyright but here it goes. ------------------------------------------------------- If stocks do sell off, watch to see how much damage it does to the dollar. If stocks sell off, but the dollar holds in pretty well, that too is telling you something. >>From a contrarian point of view, if the dollar doesn't want to give much ground as US assets (stocks & bonds) begin to slide, then something is going on...... ....something is going on. ......... Did you happen to notice that the Bank of Japan did not raise rates as so many analysts had expected? Would you care to venture why? .....Sure the the Sogo Department Store failure had their attention...but who is to say that Sogo will be the only large Japanese company that will fail? There are others coming. As we have said repeatedly, Japan is not yet out of the woods. They cannot afford to raise rates...not for some time yet. If they do raise rates, the Nikkei will plunge. Perhaps the Nikkei will plunge anyway...but you don't put out a fire out by throwing gasoline on it. Raising rates at this time would be a thoroughly bad idea. If the US consumer stops buying European and Japanese widgets (of which he already has too many), it should put downward pressure on the EURO and the YEN, not the dollar. And can we be so sure European and Japanese investors will pull their funds from the US??? ....and put those funds where exactly? Into the Japanese Post Office to get less than 1/2 percent return? Into the plunging Nikkei? Into JGBS which are about to plunge? ------------------------------------------------ The part about the USD I thought was intriguing. I used to watch the USD but never got much out of it. Anyway, you should know that Mr. Smith has a bearish bent.