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Strategies & Market Trends : The Millennium Crash -- Ignore unavailable to you. Want to Upgrade?

To: Richard Estes who wrote (1699)	11/25/1997 8:36:00 AM
From: Staff	Respond to of 5676

Great advice. Folks in Japan could have learned something from your advice last week. Clinton changed his tune from a glitch to saying we can't be causal and it is serious in just a day! Imagine that?. On Tuesday, the Nikkei 225 average dived over five percent to close at 15,867.53. No glitch for sure. Taiheiyo Securities Co Ltd, One of the seven brokers in which Yamaichi has a stake of about 40 percent,claimed and made assurances Monday that it would not be hurt by Yamaichi's failure. Now you tell me how Yamaichi can close the doors, have a 40% stake in Taiheiyo and it not sting just a little? Give me a break. A holding and it's not going to hurt just a little? Well investors thought it was prop talk as well. They clobbered it's share price by its daily limit to 62 yen despite its call to calm as it where. Many financial shares opened the day ask-only, with bank shares, especially those in the Fuyo group of firms that includes Yamaichi, hit particularly hard. Main Yamaichi creditor Fuji Bank Ltd and fellow Fuyo group member Yasuda Trust & Banking Co Ltd both fell by their daily limits. Another glitch? Naugh! their just not a sophisticated as American investors with all that Prozac &valium running threw their viens:-) I can hear Lou Dobbs right now sounding like some pirates parrot saying " never sell...never sell.... :-)" Lets face it, Yamaichi's collapse, which followed the fall earlier this month of Sanyo Securities Co Ltd and 10th-largest commercial bank Hokkaido Takushoku Bank Ltd, is beginning to have traders ask which company will be next to fail. Do you blamb them. 7 second-tier brokers and two banks were trading at or below the critical 100 yen level when the Tokyo exchange closed. Lou would say it's a good dip to buy. It is caused buy ahhhhh.. profit taking...yeah! thats the ticket :-) What would you do if you bought the big DIP as it where last week and are still holding positions Lou :-) It dosen't sound like the goverment in Japan were issuing any refund checks last night! I would keep an eye on Nippon Credit Bank & Fuji Bank and Yasuda Trust. If the Nekkei stays below 16,000 fro any length of time,they are in real real deep doo doo IMHO. If the Nikkei breaks 15,000 I beleive they will be forced to recognise devaluation losses that will badly hurt their bad-loan disposition plans. That's techna garb for " stick a fork in them" Some life insurers are also considered in danger, with five medium-sized firms rated "poor" or "very poor" by Moody's. Should be a nuts day!