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Strategies & Market Trends : MDA - Market Direction Analysis -- Ignore unavailable to you. Want to Upgrade?

To: ayahuasca who wrote (68365)	2/2/2001 4:28:21 PM
From: iod_sherwood	Read Replies (1) \| Respond to of 99985

My take is its not so much an economy thing that is killing the tech market, but rather an overall recognition of stock price bubbling and realization that going forward, getting your bang for the buck will actually matter. When things do pick up again in the economic engine... Don't think it'll be as airy fairy or bubbly in the valuation department as it was for some time in recent years... There will always be a few standouts... that's a given.. but in general... things are winding down...

To: ayahuasca who wrote (68365)	2/2/2001 4:32:56 PM
From: c.hinton	Respond to of 99985

I would suggest reading the the Jan27-feb2 edition of The Economist, a large portion of the issue discusses corporate finance and debt.

To: ayahuasca who wrote (68365)	2/2/2001 5:24:07 PM
From: Mark Adams	Read Replies (1) \| Respond to of 99985

I won't compare the US today to Japan- the situation is somewhat different. But you might want to check out this link, from which I've pulled a little extract. The thesis seems to be that a V recovery is less likely than we would like to believe. msdw.com But this dramatic downshift may have nothing to do with the so-called time compression of the Information Age. It turns out that a confluence of forces came together all at once: the lagged impacts of Fed tightening from mid-1999 to mid-2000; an energy shock; a negative wealth effect; higher corporate borrowing costs; and an earnings shock. This is very much consistent with the so-called "perfect storm" analogy, with multiple sources of deceleration combining in a fashion that would have brought any economy to a screeching halt. In short, there may be nothing all that unique about the rapid emergence of the first recession of the New Economy.