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Technology Stocks : Global Crossing - GX (formerly GBLX) -- Ignore unavailable to you. Want to Upgrade?

To: gruetz who wrote (12753)	7/24/2001 11:39:23 AM
From: TechMkt	Respond to of 15615

Gru, Don't know. I'm just hoping we don't have another end of day order imbalance that sends the price plummeting. That seems to be the new norm for GX. Fez

To: gruetz who wrote (12753)	7/24/2001 12:13:27 PM
From: Bill Fischofer	Read Replies (1) \| Respond to of 15615

It's called redemption A lot of former high-flying funds which were down 40% or more last year and a similar amount YTD are getting hammered with redemptions by fund holders who just can't take it any more. It's the opposite of what happened in 1999 and early 2000. Then everybody was pouring money into these funds because of their performance and the fund managers just plowed the cash into their favorites which of course drove them higher which helped the fund's performance. Now the funds are forced to sell those same stocks which drives their prices down and leads to worse fund performance which causes more holders to hit the eject button. It stops when everyone who has to sell has sold. There has been a massive transfer going on for the past few quarters in which stocks formerly held by "growth" funds are being jettisoned as those funds go down in flames while the resulting bargains are being patiently accumulated by "value" funds. The good news for long-term investors is that these new owners are real investors and are not looking for a "quick flip". So once the ownership base turnover has completed the stage will be set for an extended, but more gradual, rise than was seen before.