Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Tech Stock Options -- Ignore unavailable to you. Want to Upgrade?

To: Patrick Slevin who wrote (47770)	7/14/1998 9:24:00 AM
From: SE	Read Replies (1) \| Respond to of 58727

How do you interpret the last minute downside. a) Means the market will open higher and trend lower. b) Means the market will open flat and trend lower. c) Means the market will open lower and trend higher. d) Means the market will open lower and go lower. e) Means no one has a clue and the market will stay flat. f) All of the above. g) None of the above.

To: Patrick Slevin who wrote (47770)	7/14/1998 2:34:00 PM
From: WBendus	Read Replies (1) \| Respond to of 58727

Weak bond or not, doesn't seem to matter. This market only knows one direction, UP! Traditional wisdom would tell you that when you have a weak dollar, rising interest rates, and rising energy prices, that asset prices should deteriorate. But, new wisdom, in the current environment, says that stock prices should go up. A sinking dollar means that repatriation of US$ by large multinationals increases profits, rising energy prices mean that the oil stocks can go up, and we no longer believe in CAPM or NPV analysis. Therefore, all the ingredients mean a higher market. Since much of our economy has made a transition to a service economy, energy prices no longer mean as much. And, so long as productivity gains exceed wage pressures, fear of inflation is mute. I now have a difficult time ascertaining what it will take to cause this market to correct.