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Technology Stocks : Semi-Equips - Buy when BLOOD is running in the streets! -- Ignore unavailable to you. Want to Upgrade?

To: molemania who wrote (3373)	11/11/1997 9:04:00 AM
From: Proud_Infidel	Respond to of 10921

Also, EGLS is holding up fairly well. It's fallen nearly 50% w/o a noticeable rebound. What do you consider holding up well? IMHO, it is really doing no better than the rest of the equips. Regards, Brian

To: molemania who wrote (3373)	11/11/1997 10:25:00 AM
From: Sam Citron	Respond to of 10921

Dave, "If SE Asia can't fund the fabs in the near future, wouldn't basic economics dictate that some other region (Europe, Latin America...) will take up the slack, assuming there is still good demand for chips?" The basic problem is that there is a glut of chips out there. Fixed costs are high, variable costs low, so instead of shutting fabs, they produce more chips hoping that higher volume will bail them out even at lower price. Asia is very committed to semi production and is very efficient at it. They also take a longer term view than rest of world [ROW]. I don't expect ROW to take up the slack, until demand does catch up with capacity. In uncertainty, markets often discount worst case scenario. The Asia crisis is more of a market event and market events affect all stocks short term, except defensive ones. SC