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To: GST who wrote (108830)	9/22/2000 4:06:55 PM
From: Eric Wells	Read Replies (3) \| Respond to of 164684

What do we glean from this? GST - it's difficult to say - but I'm debating the following possibilities in an effort to come to a conclusion: 1. The market has entered some sort of Orwellian reverse parallel universe, a place where "bad" news is "good" news, where stock prices go up when the future looks grim, where companies with mounting losses see their stock prices go higher and higher. 2. Intel was lying when they issued their earnings warning yesterday - it was all part of a grand scheme to create a buying opportunity - and every investor in the world is in on the scheme, except of course, for you and me (and possibly Sarmad) - for example, William is most likely in on the scheme. 3. There is still an incredible amount of speculation in the market - speculation that allows companies to have market caps in the ten and hundreds of billions of dollars with PEs in the hundreds (and some with no PEs at all). While the above three present a difficult choice for me, I'm leaning toward number 3. What does this tell us about where these stocks will be two weeks from now? Care to guess as a purely and very friendly "just for the hell of it" conjecture?? As for where we will be 2 weeks form now - one side of me, the foolish side that believes in fairness and justice and believes analysts don't lie and that investors exercise prudence, good sense and honesty when they buy and sell stocks - well, this side of me believes that prices of many speculative stocks are way too high, and that therefore the market will be much lower in two weeks. However, the other side of me - the more cynical yet more realistic side of me - this side believes that stock prices are based on no measurable, tangible thing, but rather are based on the mood and direction of the crowd, and that tangible things such as earnings or economic numbers are used to support the mood and direction of the crowd when it serves the crowd to do so - well, this side of me believes the market will be much higher in two weeks, merely because the crowd wants it to be higher. So if I take the average of these two leanings, I would conjecture to say that in two weeks, we'll be exactly where we are today - in a state of utter confusion as to the direction of the market. -Eric