To: Exacctnt who wrote (27274 ) 4/8/1998 12:06:00 PM From: Knighty Tin Read Replies (3) | Respond to
Bob, Congrats on owning MSFT so long, but this answer is more to your general hypothesis. I think the entire retirement money thing is being used as an explanation of soemthing that happens every market cycle: relatively huge sums of money come into the market when stocks have gone up a lot. This time, that flow of money has been helped by artificially low interest rates, accounting tricks that increase reported eps, a Fed that prints money so fast it is de-foresting the world, and Alan Greenspan's willingness to do anything to save the banking system in The United States. Add to that big problems in Japan, which was once the largest stock market in dollar trading terms, lethargy in Europe, and bond market yields and spreads that would make a speed freak yawn, and you have people with cash who see a no-risk way to double their money quickly.
