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.

Technology Stocks : Applied Materials No-Politics Thread (AMAT) -- Ignore unavailable to you. Want to Upgrade?

To: Donald Wennerstrom who wrote (10212)	6/7/2004 9:02:18 AM
From: Sarmad Y. Hermiz	Respond to of 25522

>> This is so unlike you - where has the optimist gone Hi Don, My optimism is not dampened. I was just trying to say that even though there is plenty of value in our stocks, that institutions will not start buying just yet. And I think their hesitation is due to the factors I cited. However at this point for the people on the sidelines, lower prices are more just a fond hope, than a realistic expectation. Except for that unexpected disaster that can kill the economy. Still, I think institutional buying will wait to see that: 1- the budget deficit will respond to higher employment (by getting lower). 2- the trade deficit will respond to the lower dollar (by getting lower) 3- oil prices will drop in response to a lesser fear factor in the middle east 4- inflation will not just spike up very fast and cause a big upward jump in interest rates. 5- earnings will continue to increase Since these processes cannot unfold all at once, I think institutional buying will not happen all at once either. But I am optimistic that on all fronts, the direction is positive. As I've said before, the really important consideration now is that current stock holders do not need to be fearful of a meltdown in the market (from current levels). Except, of course, for that near zero possibility of a big disaster. So we can wait until the big boys want to buy. And we'll be glad to sell to them, when they are ready to bid prices higher. Sarmad