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To: Bonnie Bear who wrote (9583)11/26/1997 11:36:00 PM
From: Rational  Respond to of 18056
 
Bonnie:

Japanese banks can borrow public money at 1.5% and invest in US Treasuries at 5.5%. Wow!! Banks would have done OK had not invested a part of their funds in stocks.

Most of US stocks are (I guess) held by private companies and individual Japanese -- that's why no one knows and talks about it. I would like to know this, though.

BOJ has to give a green light to banks to sell any large quantities of US Treasuries.

Sankar



To: Bonnie Bear who wrote (9583)11/27/1997 1:09:00 AM
From: Zeev Hed  Read Replies (1) | Respond to of 18056
 
If the Japanese are true to their old habits, they will sell their US stock holding late in winter early spring, just at the bottom of the cycel. They did the same with real estate (the Rockfeler center and some choice properties in the west) and with all the golf courses they bought at the peak. That is there way of letting us repatriate our dollars (G).

Zeev