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To: Jim Willie CB who wrote (40564)	8/24/2001 3:35:28 PM
From: stockman_scott	Read Replies (2) \| Respond to of 65232

<<Scott, you are still sending me tons of stuff but at least they are the cream stories>> Jw: Don't believe everything I send you <G>....I actually am cautiously optimistic that most sectors of the U.S. will be able to skirt by a recession. I think the FED is done lowering rates and my hunch is that the worst is behind us. I DO NOT feel we will re-test the April lows on the Nasdaq. On the other hand, I will not become fully invested until 2002. Nothing can be taken for granted yet. There may be plenty of good buying opportunities out on the horizon...=) Enjoy the weekend. Regards, Scott

To: Jim Willie CB who wrote (40564)	8/24/2001 3:49:01 PM
From: stockman_scott	Read Replies (1) \| Respond to of 65232

U.S. Treasuries retreat as stocks power higher Friday August 24, 3:40 pm Eastern Time By Ross Finley NEW YORK, Aug 24 (Reuters) - U.S. Treasuries fell on Friday as a government report showing a resilient housing sector helped extend a stock market rally and drew funds away from the safe haven of government securities. But Treasuries have bounced around in a narrow band since the Federal Reserve cut interest rates on Tuesday for the seventh time this year in a widely expected move that offered no big policy surprises and did not shift market sentiment. Trading activity was slow for most of the week, and bond investors are looking for more evidence of economic weakness to buttress hopes the central bank would cut rates by a quarter-percentage point at either of its next policy meetings in October or November. ``We've had a good week and we're just going to go back to the bottom end of the range now and I don't think it's any more special than that,'' said Jim Claire, director of fixed income trading at Evergreen Investment Management in Charlotte, North Carolina. Most market participants expect the Fed to cut rates again at its October meeting, although futures contracts traded on the federal funds rate indicated slightly reduced chances following Friday's stock market activity. October fed funds contracts reflected slightly better than 50-50 odds for another quarter-point cut, down from roughly 70 percent after Tuesday's rate cut. In late afternoon trade, the Dow Jones industrial average (^DJI - news) was up nearly 2 percent while the technology-weighted Nasdaq composite index (^IXIC - news) rose 3.7 percent. Stocks climbed after computer networking gear giant Cisco Systems Inc. (NasdaqNM:CSCO - news), whose stock has plummeted nearly 80 percent from its peaks, gave an upbeat assessment of its future and said its current quarter was in line with reduced forecasts, sparking renewed interest in the high-tech sector. A government report showing new home sales rose 4.9 percent to a 950,000 annual rate, the biggest one-month jump since December, helped stocks extend their gains and push Treasuries sharply lower. Investors shrugged off downward revisions to the previous two months of home sales data. ``Bonds are selling off just because the stock market's going up,'' said Claire. The losses in Treasuries came despite an earlier report that showed more weakness in durable goods orders led by the high-tech sector that underscored concerns about a slump in business capital spending and the broader economy's health. At the 3 p.m. EDT (1900 GMT) New York settlement, two-year Treasury notes were off 3/32 at 100-8/32, yielding 3.74 percent, up from a closing yield of 3.64 percent last Friday. Five-year notes were 5/32 lower at 100-18/32 to yield 4.48 percent, up from 4.41 percent a week earlier. Benchmark 10-year notes were off 10/32 at 100-19/32, yielding 4.92 percent, above last week's closing yield of 4.85 percent. Thirty-year bonds were down 17/32 at 98-30/32 to yield 5.45 percent, up from 5.43 percent last Friday. September T-bond futures fell 14/32 to 105. The Commerce Department said orders for big-ticket manufactured goods fell in July for a second month, down 0.6 percent following a downwardly revised 2.6 percent drop in June. Durable goods have been in a decline since mid-2000. However, the closely watched category of non-transportation orders recorded a much steeper fall than expected, tumbling 1.4 percent compared to projections for a 0.6 percent drop, suggesting ongoing weakness in capital spending. ``You put everything together here and you're looking at a pretty dismal picture for the manufacturing sector,'' said Anthony Karydakis, senior financial economist at Banc One Capital Markets in Chicago. Two-year Treasury note yields, most sensitive to near-term Fed moves, have tumbled since last year as traders anticipated the Fed's three percentage points of interest rate cuts since January in its bid to boost economic growth. Cuts in short-term rates increase the value of short-term, fixed-income securities issues that mature within a few years' time. Longer-maturity bond yields, which have remained near rates seen in early January, began edging lower midyear as energy prices fell off their peaks and eased inflation worries. The Fed this year has lowered its benchmark federal funds overnight bank lending rate to 3.50 percent, its lowest since April 1994.

To: Jim Willie CB who wrote (40564)	8/24/2001 7:32:08 PM
From: jjkirk	Respond to of 65232

JW, re: "the federal tax cuts are a pure con, been reading about it.. they essentially will be an advance of taxes paid in APril 2002" make that: they essentially will be an advance of the taxes REDUCED IN 2001. There will be a line on the return that asks for the amount of the rebate received...another line stating the amount of rebate due. Those that did not file a 2000 return until October 2001 or later will not get a rebate check, but will get benefit of the rebate. When did you start believing what you read in the papers? <gg>