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.

Politics : Formerly About Applied Materials -- Ignore unavailable to you. Want to Upgrade?

To: RMP who wrote (49595)	7/22/2001 7:36:33 PM
From: Ian@SI	Read Replies (1) \| Respond to of 70976

A nice close to Gene Epstein's column in this week's Barron's. +++++++++ ... But the economy appears to have survived this mini-cycle in relatively good shape and appears ready to lurch forward. Friday, the Bureau of Economic Analysis will be issuing its benchmark revision of GDP growth; what appeared to be quite weak fourth and first quarter will now look less weak, showing gains in the 2% rather than the 1% range. The BEA's "advance" estimate for second- quarter GDP growth will also come in at around 2%. The inventory contraction appears to be ending, and while capital investment will show a decline for the second quarter, all key signs (e.g., an upturn in orders of nondefense capital goods) show that it, too, is in the process of recovering. Contrary to last week's front-page article in The Wall Street Journal, the poor earnings outlook will have close to a negligible effect on business investment. In a competitive marketplace, business must invest in response to an increase in the demand for its product. Alan Greenspan will help see to that.