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To: Sarmad Y. Hermiz who wrote (3912)7/9/2002 11:14:10 AM
From: Gottfried  Read Replies (1) | Respond to of 95487
 
Sarmad, US Markets go down, foreigners sell US stocks and change dollars into yen, euro etc. It also works near US Market tops. Someone was quoted in Barron's saying in 1999 that the Market bubble had a ways to go because foreigners had not come in yet. That's saying foreigners are 'dumb' money. Similarly, US mutual fund withdrawals coincide with Market bottoms. I saw a chart recently. Again that would be 'dumb' money.

I hasten to say that some 'J6P' I know are and have been out of the Market. Not so dumb.

Gottfried



To: Sarmad Y. Hermiz who wrote (3912)7/9/2002 11:32:11 AM
From: Alastair McIntosh  Read Replies (2) | Respond to of 95487
 
Sarmad, I view a lower US$ as helping U.S. corporations. Their products become less expensive in world markets while European and Asian goods become more expensive. This will speed earnings growth of U.S. companies.

In the meanwhile keeping a portion of your investments in un-hedged gold stocks is a good way to benefit from a declining dollar.