To: Burt Masnick who wrote (172355 ) 1/2/2003 10:14:21 AM From: Amy J Read Replies (2) | Respond to of 186894 Hi Burt, re: economy Sentiment in the business community in Silicon Valley, at least the entrep/biz folks I'm hanging out with, turned positive in December. On another note, local large high-tech companies have started hiring in Dec (in the face of a GS report that put forward a gloom-doom report on IT.) This hiring is contrary to last week's USA Dec unemployment that was a 3-mo high. I doubt we'll have 4 years in a row where Nasdaq is negative. My bet is Nasdaq isn't a negative year this year. At work, the one thing that would have the power to put us out of business would be any particular component shortages that gate builds & shipments (I know talk about comp shortages is way too premature these days.) Eventually some day, (or month, or year...), when the market eventually turns, and some day it will, it may catch certain vendors by surprise, like those that have essentially approached a nearly build-to-order schedule. Most everyone in the industry has avoided a build up of inventory during this downturn, so when things eventually turn, it may snag a tad because the manufactures don't build inventory like they used to do, distys don't carry inventory like they used to do, nor do the companies buying the material carry inventory like they used to, so there's no margin of error in the inventory system, which means the likelihood for snags is higher at the eventual turn, whenever that may be, not something we could afford to ever be unprepared for, so I'm going to make sure our Ops puts certain inventory procedures in place, something I haven't had folks waste time on in 2002 or 2001. Like us, I think companies are planning on some ramps in Dec 2003. But things that could impact that might be a war with Iraq, possibly terrorism, and the wild card of the impact of a potential Real Estate bust onto the general economy. During New Years Eve, one guy went around to each and every person and said, "2002 is OUT of here. 2003 is (finally) here!" Everyone knew what he meant. Here's a negative blurb on the economy: Regards, Amy J PS Bought some CSCO today $13.+ biz.yahoo.com CBS MarketWatch Futures point to green start to new year of trading Thursday January 2, 8:42 am ET By Michael Baron NEW YORK (CBS.MW) - Shrugging off a report that sentiment towards information technology spending has soured, U.S. stock futures are poised to start the new trading year on a positive note early Thursday. ... Investors got some economic data to mull as seasonally adjusted layoffs rose to a three-month high in the last week of December, according to government estimates. ... A subdued report from Goldman Sachs could rain on hopes for a parade down Wall Street for technology issues.