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Strategies & Market Trends : Don't Drink the Kool-Aid Kids -- Ignore unavailable to you. Want to Upgrade?

To: Poet who wrote (542)	5/6/2001 12:32:14 PM
From: Stoctrash	Read Replies (1) \| Respond to of 1063

Poet...this reminds me of '98. When the bad news got worse the market jumped large as the FED was seen as the saviour. Will history repeat itself again? Will the liquidity flow help turn the ship in the next 3-6M? Maybe...maybe not. The biggest problem I've got is still valuations. Even if growth does come back, many techs will still be mucho phatty. I think it will come back over the next 6-18M..but more like 3-9% growth....not the 15-40% rates of the past.

To: Poet who wrote (542)	5/8/2001 2:02:38 PM
From: John Pitera	Read Replies (1) \| Respond to of 1063

Hi Poet, One thing to remember is the market will discount and "look past" a recession if it's short, but the valuations are still pretty high. Susan Byrne the manager at Westwood, was on cnbc's squawk box this morning. She had some great charts on CapEx as a percentage of the economy this morning and Technology Capex relative to it's 10 year range, and energy Capex and it's 10 year range, it still looks like we are coming down out of an excessive expansion. shorter term, we could trade higher into the Fed week, the trading is hard to gauge currently.