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Technology Stocks : Cisco Systems, Inc. (CSCO) -- Ignore unavailable to you. Want to Upgrade?

To: michael97123 who wrote (45701)	1/2/2001 4:59:46 PM
From: The Phoenix	Read Replies (7) \| Respond to of 77400

Michael, I don't think anything AG does at this point will have any long term impact on the markets. However waiting to the 31st and doing 25 basis points would be viewed poorly and I would expect more selling. At this point I wouldn't be surprised to see analyst downgrades - since they always seem to do that sort of thing when an equity is down. Bambs may get his $25 number faster than he thinks.... hell... maybe even $20. I can't imagine it... but I would never have guessed the $35B sell-off today either. CSCO now trading at a trailing PE of 78 using bamb's actual earnings numbers and trailing PE of 50 using pro-forma. Projected end of year PE (at this price) is 42 - again using pro-forma. Given top line and earnings growth and the market that this company is in it seems like a buy... but then equity prices are driven more by investor sentiment (both to the upside and downside) than ever before. SO, to answer your question- what will the effect of a rate reduction be on equities... I think you have to be a psychologist.... ;-) OG