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Technology Stocks : INTEL TRADER -- Ignore unavailable to you. Want to Upgrade?

To: smolejv@gmx.net who wrote (3783)	9/4/1998 8:17:00 AM
From: MonsieurGonzo	Read Replies (2) \| Respond to of 11051

DJ; RE:" PUT it to me " >Before the melt-down an average US family had 120k$ of paper profits which they (you) happily borrowed against to go on buying spree. Now a) its not 120k$ anymore and b) you dont know how to spell SAVING (its at 1.x% of GDP in US)... ...the average American family did not have $120K in paper profits - that is a ridiculous statistic, and you know it. That's the capital gains per capita, which is interesting, but essentially meaningless. ...most Americans would consider their equities and retirement accounts (in stocks and bonds) as "savings", DJ - as well as their real estate, despite the fact that they 'buy money' to buy stocks and land. Yes, I know that it's not really "savings", but that's the way most Americans think. Historically, Americans have never left cash lying around in Savings Accounts for long, considering it to be "dead money" or, "decaying money" relative to inflation. Kapital gains is a way of life over here, unlike Europe - where most major newspapers do not even report their own market's ups and downs, and housing is closely held within family estates. >US economy does not have its big pillar of support called consumer spending anymore available... ...disposable income will depend upon employment and wages, obviously; I am concerned about it as well. Damn employment and wages have just keep going up, confounding the Keynseians. But the driving force behind the market drops since mid-July has been the exposure of our financials to foreign currencies, amplified by trading losses as the equity valuations themselves diminish. Because of the US BigBanks' exposure to Latin America, devaluations there would crash the bank stocks (again). >I would in your place open the window, throw out your trend and support lines, start a new sixpack and chew a little on realities. Christ - I've been a spectator for some time now, DJ; dabbling in this and that. As I am 75% in time deposits, and you are 100% invested, I suggest you have a conversation with the man in the mirror -? -Steve