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Politics : Idea Of The Day -- Ignore unavailable to you. Want to Upgrade?

To: IQBAL LATIF who wrote (32416)	8/11/2000 9:51:18 AM
From: IQBAL LATIF	Read Replies (3) \| Respond to of 50167

Core PPI is in line the market presently is negatively reacting to strong retail sales, I would like to interpret this data as positive, yesterday we sold off based on earnings worries, the argument is that slowing economy is going to hurt corporate profits, here we see an economy where inflationary pressures are benign although leading indicators are strong. Year after year this is the kind of data that has confused the economic trend predictors, low unemployment did not trigger inflation neither would strong retail sales, a productivity driven economy has to show strength in leading indicators without rising prices, falling prices and falling retail sales would put skids under this market.. I feel that 10905 support is a good support on DOW to form a base, I see 3666 as an iterim support that could be touched but overall we may see firmer markets as numbers are properly digested.. Comp 3808 and NDX 3645 are immediate 13 days MA resistance, I would like that these two areas to be taken out. On SPU 1471-74 is a support or SPX 1455 that should hold if we hold DOW 10900 and 1471-74 on SPU we will see a firmer tone developing even in NDX and Comp.. Two interesting indices are PSE sitting at 13 days MA 1039 and OEX at 25 days support at 799.5, for this trend to continue I would like these supports to be held.

To: IQBAL LATIF who wrote (32416)	8/11/2000 3:22:52 PM
From: zainrehanzack	Read Replies (1) \| Respond to of 50167

I would think T and BTY as good stocks to watch. <<AT&T Weighs Asset Spinoff, Tracking Shares Amid Telecom Giant's Stock Slump Friday, August 11, 2000 01:33 AM Mail this article to a friend NEW YORK -(Dow Jones)- AT&T Corp. officials are concerned about the firm's low stock price and are mulling options, including tracking stocks or a spinoff of assets, though no plans are imminent, Friday's Wall Street Journal reported. With Ma Bell's stock down 39% this year, after hitting a 52-week-low of $29.63 earlier this week, AT&T's market capitalization is a paltry $115 billion, about what AT&T collectively paid to acquire Teleport Communications, TCI and MediaOne Group. Many analysts and investors believe the company's assets are worth far more than that; estimates range from $45 to $73 a share. This raises the question: Will the big telecommunications concern -- which went through a government-ordered dismantling in 1984, a voluntary breakup in 1996 and a string of brassy acquisitions since then -- split itself into pieces once more? Yesterday, in 4 p.m. New York Stock Exchange composite trading, AT&T shares were up 63 cents to $30.88. AT&T officials, fretting over the plunge in their company's stock, have begun mulling a variety of alternatives, including tracking stocks or a spinoff of certain assets that could effectively result in breaking up the company, according to several people familiar with the matter. They think Wall Street is valuing AT&T at absurdly low levels, valuing some businesses at next to nothing. By one measure, AT&T's consumer, cable and business-services units are collectively being valued at only $30 billion to $40 billion, a ridiculously low level that is drawing some value shoppers to AT&T stock. One option AT&T has been considering is joining its struggling but cash-generating long-distance phone business with Liberty Media Group, the programming business owned by AT&T that trades as a tracking stock, and then spinning off the combined entity. The spun-off unit would have a tracking stock for the consumer long-distance business. The advantage is that cash from the long-distance operations could help fund Liberty, which is headed by cable pioneer John Malone. Such a plan also would circumvent potential tax consequences of spinning off Liberty, which AT&T acquired through its purchase of TCI. Of course, Liberty, lacking ties to the phone business and holding up well in the stock market on its own, may balk at such a complex arrangement. Another option is simply spinning off the consumer long-distance business, along with a spinoff or tracking stock of AT&T's cable business. Many people believe AT&T will keep its network and business unit, the biggest revenue generator, within AT&T. To be sure, a breakup isn't imminent and AT&T appears to be considering a variety of options. Indeed, people familiar with the matter say "everything is on the table," and no decision has been made. Certainly, breaking up the company and disconnecting itself from one of the biggest customer bases ever assembled by a company isn't a step to take lightly. An AT&T spokeswoman declined comment. >> Rehan