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Strategies & Market Trends : Waiting for the big Kahuna -- Ignore unavailable to you. Want to Upgrade?


To: robert b furman who wrote (26446)9/3/1998 11:23:00 PM
From: Carl R.  Read Replies (1) | Respond to of 94695
 
I don't know about Texas, but in Nebraska I think car sales will dry up by spring. With commodity prices way down, most farmers are holding there crops in the hopes that prices are higher next year. And in Nebraska, if the farmers aren't spending, neither is anyone else.

Carl



To: robert b furman who wrote (26446)9/3/1998 11:31:00 PM
From: Oeconomicus  Respond to of 94695
 
Bob, some of these "third rate economies" are significant trading partners. Russia may not be, but Asia and Latin America certainly are. I'm not convinced Latin America is going to collapse like Asia, but they are not strong as they (Brasil at least) appear to have chosen recession over a return to hyperinflation. We won't be selling them as many computers and such in any case.

Anyway, careful hanging your hat on low inflation and low interest rates (or even, as is still a possibility though a shrinking one, avoiding a recession) to keep the market up. As I noted here months ago, look at 1962.

Regards,
Bob