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Technology Stocks : PSFT - Fiscal 1998 - Discussion for the next year -- Ignore unavailable to you. Want to Upgrade?

To: Chuzzlewit who wrote (1978)	8/28/1998 3:38:00 PM
From: Eddie Kim	Read Replies (2) \| Respond to of 4509

>>Bear markets are associated with recessions. Take a look at Russia, Japan, Korea, Indonesia....is the US next? Why do you think investors are so nervous? Why do you think the market has already corrected over 10%. >>Further, there is no evidence to bolster your claim about that it takes ten years to recover from a bear market. Take a look at the historical data. It takes roughly 10 years for the market to recover. This of course does not even account for inflation. i just used 1970s to 1980s because it was the most recent. >>I believe that we are seeing a slow motion replay of the October 1987 "bear" market. So are you saying that in 10 years the DOW will be at 40,000? Maybe, but I doubt it. The last "correction" (not including the one were in now) was in 1990, i believe. The last bear market ended 1983..or was that 1982. PSFT down 10% today, and it down over 50% from its highs. Heck...even CPQ didn't do this bad.

To: Chuzzlewit who wrote (1978)	8/28/1998 10:29:00 PM
From: Melissa McAuliffe	Read Replies (3) \| Respond to of 4509

Chuzz, I'm no expert on bear markets that's for sure. But you make the statement that bear markets are associated with recessions. And I'm sure that has been true historically or you wouldn't have said it. But I wonder if things aren't maybe somewhat different now than they were historically. We are now living in a global economy. And it seems that whatever happens elsewhere impacts us and vice versa. If you go back and read older books on diversification of your portfolio you will see that it was typically recommended that some portion of your portfolio be not only in U. S. stocks but also International stocks. The idea being that one could balance the other when one was experiencing tough times. Well it seems to me that idea is out the window these days since it seems that the world markets all seem to go up and down together these days. Melissa