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Technology Stocks : Intel Corporation (INTC) -- Ignore unavailable to you. Want to Upgrade?

To: Narotham Reddy who wrote (38743)	11/3/1997 9:00:00 AM
From: Tunica Albuginea	Respond to of 186894

Narotham, Iagree that markets are heading up next few weeks. Unlike the past, I don't think we'll " re-test the lows ". The reason is that last week's decline went too far down BECAUSE OF THE CIRCUIT BREAKERS. The reason is tha people panicked excessively when the market dreopped and oredered to sell at any cost at the next open. I think circuit breakers exaggerate the market BOTH UP and DOWN. Going up you have more support for ridiculous PEs; " stocks are not washed down to reality" which would make future buyers of high PE stocks more cautious; so they keep buying higher and higher. The converse on the way down.Too much gloom and doom. Nice WSJ editorial Oct.31 '97 " The trouble with circuit breakers " by L.Hosking; a must read for those that want to get rid of them or change them.He quotes the Sydney Futures Exchange ( he is the CEO there ) which provided virtually 24 hour access to the marke during the turmoil ( treding daily hours and screen dealing overnight). Australia's markets remain orderly and the Austr Price Index fell 7.1% - among the smallest worldwide reactions to Monday's US sell off. Also this week with M.Zweig interview, he thinks too the market went to far down, no retest for a t least a couple of weeks; I suspect longer, because fundies are still there and valuations have been beaten down. Intel to go back to 85 sometime this week. Wed- thurs? gg TA