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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: Scando-American who wrote (31584)	8/26/1998 2:07:00 PM
From: upanddown	Respond to of 132070

Scando: I think the biggest reason for the disparity between big and small is that there is so much money indexed (and quasi-indexed) to the S&P 500. When selling pressure hits, money managers move more funds to the big stocks believing that the indexing protection will cushion the fall. They know that a lot of the money in the big stocks cannot be liquidated. The small stocks don't have that protection. The valuation disparities between big and small really parallels huge growth in big stock indexing. All this is happening while small companies are growing faster than the big guys. I have no idea how and when it will all end. Maybe MB does. John