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To: Wyätt Gwyön who wrote (49251)	2/22/2001 9:09:33 AM
From: bambs	Respond to of 77398

from wsj.com today Nasdaq Nears a 2-Year Low On Negative Inflation Data But according to historic P/E ratios calculated by researchers at the Nasdaq Stock Market and tracked by Ned Davis Research, the Nasdaq Composite in the late 1980s and early 1990s never traded above 50 times trailing earnings. Its average P/E ratio since the end of 1985, in fact, is about 51. If the index were to fall back to that level, its value would fall below 1000 -- to between 800 and 900 looks like mainstream media is starting to talk of the Nasdaq trading to under 1000. We don't look so crazy now do we? It's funny how last year when the nasdaq was flying over 4000 and 5000 everyone said people like us were nuts. that it could never fall back to under 1000. now that we are struggling to hold 2000 and you look at the p/e's, the economy, the "lack of visibility", the outstanding shares, the insider selling, the slow down in the economy, the bad business models, the massive debt...it no longer seems so nuts to picture the nasdaq under at 800-900. it will likely be a slow grind down..with some nasty drops along the way. the real money will be made shorting banks and brokerages this year. bambs