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.

Strategies & Market Trends : MARKET INDEX TECHNICAL ANALYSIS - MITA -- Ignore unavailable to you. Want to Upgrade?

To: yard_man who wrote (15942)	1/30/2003 1:01:08 AM
From: J.T.	Read Replies (1) \| Respond to of 19219

Let me answer you in a different way The peace dividend played a large roll in the market melt-up in the 90's. The peace dividend spawned out of a defense build-up in the 80's- and the benefits we witnessed watching the Berlin Wall crumble, communism collapse and the end of the cold war. We all know about the ineptness of the US in the late 70's ala the Soviet invasion into Afghanistan and the Iranian hostage crisis which preceded the military build-up to stand up to our enemies. The peace dividend allowed for capital resources to shift new energies into a broadbased technological revolution which lead to higher productivity and greater efficiencies. Fast forward to today and we are 'hostage' in a sense to Sadaam and 'hostage' to a new world of terror after 9/11 ala bin laden. We can sit on our @ss and cajole these merchants of death or we can take to the offensive battle and take them out. Amazing no one talks about how we went against the UN wishes bombing Serbia and liberated the Kosovo people from the Butcher of the Balkans Slobodan Milosevic.. Milosevic all in the name of "ethnic cleansing," and at least 2,000 people were killed and more than 400,000 driven from their homes. Fast forward to the markets today: The market reflects these current geo-politcal fears and has factored back in the high risk premium we have been unaccustomed to in the 90's as a result of the peace dividend. Clearly there will be a reduced crisis in investor confidence once it becomes obvious that Saddam and his regime is removed and a new government for the people will be installed. Same goes for bin laden/"Al Qaeda international terrorist group, as we take out these cells one by one. Even more importantly it will propel businesses and managers to take that next step in capital build-out as the geo-politcal fog lifts and plans develop as new demand is revived going into the middle and latter part of the decade.