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.

Pastimes : Clown-Free Zone... sorry, no clowns allowed -- Ignore unavailable to you. Want to Upgrade?

To: yard_man who wrote (40398)	11/22/2000 5:04:20 PM
From: pater tenebrarum	Read Replies (1) \| Respond to of 436258

yep...the hedge fund in drag is going to get one in the gonads like you wouldn't believe...GE Capital's bloated balance sheet is the big Achilles heel here. they are leveraged 4 : 100 approximately, or put differently, if 4% of their assets become non-performing, their equity is wiped out. and don't delude yourself that their assets aren't risky propositions...they may already carry a few duds on their balance sheet that haven't yet been classified as such. i also expect their heavy machinery business to deteriorate sharply as the global economy sinks. there have lately been rumors that S. Korea or Taiwan (not sure now which) is canceling an order for a nuclear plant due to their currency's nose-dive. across the globe there's a bonfire of the currencies...GE isn't insulated from this. their NBC subsidiary's going to suffer too, from a leveling off in ad spending. i also think the flag-ship tout TV station will see its ratings plunge along with the stock market. then there's the overfunding of their pension fund, and their options schemes, all of which are/were used to massage earnings. those cooky jar tricks will become more and more difficult to sustain. i guess you could say i'm a tad unbullish on the seventh sign.