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Technology Stocks : Softbank Group Corp -- Ignore unavailable to you. Want to Upgrade?

To: manohar kanuri who wrote (5521)	9/14/2000 3:35:45 AM
From: Edwin S. Fujinaka	Respond to of 6020

Thursday, September 14, 2000 Stock Market Outlook: Correction To Continue TOKYO (Nikkei)--The Tokyo stock market is likely to continue to stay at the bottom of its range for the time being, says Masami Nagano of Sanyo Investment Trust Management Co. Companies and financial institutions are busily selling off interlocking shareholdings ahead of the Sept. 30 mid-term book closing, and that is keeping a lid on stock prices, he says. The apparent decision by the Japanese Institute of Certified Public Accountants not to recognize profits realized through so-called "cross trading" -- the simultaneous sales and purchase of shares -- is also having a negative effect on the balance of supply and demand, he says. But corporate earnings are quite good, Nagano says. The outlook for listed nonfinancial companies is for a 30% growth in consolidated net profit in fiscal 2001. If only the supply-demand situation gets sorted out, the foundation is there for a strong rally, he says. The kickoff could come as soon as October. By then, the market should have worked through its sense of oversupply stemming from the government's sale of the sixth tranche of shares in Nippon Telegraph and Telephone Corp. (9432). Information technology (IT) shares will be the leaders as the market starts to rise. Recent data on capital investment confirm that it is IT-related businesses that are supporting the current rebound in corporate earnings. If dreams about digital home appliances come true, then it is fair to expect a further shot of growth on the IT front, he says. Many individual investors are now looking at portfolio losses on Softbank Corp. (9984), but that is the company most likely to be in the center ring as the market starts to gain. If Softbank can catch the wave of investor interest in IT shares, that could push its share price back above 15,000, which would certainly give investors ability buy other shares as well. If individual investors loosen their purse strings, the Nikkei Stock Average could recover to 18,000 by year-end, Nagano predicts. If on the other hand, Softbank fails to rise, the upside may be limited for the entire market, he says. (The Nikkei Financial Daily Thursday edition)

To: manohar kanuri who wrote (5521)	9/14/2000 7:11:16 AM
From: TobagoJack	Read Replies (1) \| Respond to of 6020

Nothing to do with official stats, but I figure, back of the envelop style, say urban population is 200 million, with 0.1% being US$ millionaires or 200,000, and say the small but growing middle class earning US$ 15 k per year, mostly disposable (cost of living is low, purchasing parity wise) numbering 100 fold that, thus numbering 20 mm. Basically equalling a fair size European country (say England). Set the growth rate of this bunch at 10% per annum, controlling a mountain of cheap but wise labour. Apartment sales rate in the cities indicate that there are many folks purchasing US$ 30-50k starter homes on 5-7 year mortgages. Lots of PC sales not ignorable by any company. Annual sales of PC is now above 4.5 million units per year, growing at 45% per annum. Observation by unscientific Jay is that a bunch of folks are actually fabulously wealthy by global standard, though hidden from the authorities.