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Strategies & Market Trends : Market Gems:Stocks w/Strong Earnings and High Tech. Rank -- Ignore unavailable to you. Want to Upgrade?

To: Jenna who wrote (14043)	9/4/1998 11:31:00 PM
From: j g cordes	Respond to of 120523

Here's the key, here're the doors.. Rubin: Japan Key to World Economy By Martin Crutsinger AP Economics Writer Friday, September 4, 1998; 6:29 p.m. EDT SAN FRANCISCO (AP) -- The entire world has much riding on Japan's ability to deal aggressively with its banking and economic problems, Treasury Secretary Robert Rubin said Friday at the end of a bad week for the world's economy. But Rubin said he was not optimistic that high-level talks here with Japan's new finance minister would produce a breakthrough. For more than a year, the Clinton administration has viewed Japan as the key player in resolving the ever-widening Asian crisis, believing the world's second-largest economy must revive its own growth to help its Asian neighbors. ''The whole world thinks it is critical that Japan take the steps it needs to take in banking and fiscal measures to get back on track,'' Rubin told reporters flying with him from Washington. ''As the circumstances of the world become more difficult, it makes it more important that each of us do what we can do in our own countries,'' the Treasury secretary said. Japan's new prime minister, Keizo Obuchi, took office this summer after the country's worst recession in 50 years had forced the resignation of his predecessor. While Obuchi pledged to move quickly to deal with economic problems, the United States and global markets have so far been disappointed. In an effort to underscore the urgency of a worsening situation, the Clinton administration invited Federal Reserve Chairman Alan Greenspan to join Rubin in Friday's discussions with Japanese Finance Minister Kiichi Miyazawa. Obuchi has announced increased tax cuts to spur Japan's moribund economy, but has so far refused to say whether the cuts will be made permanent, a key U.S. demand. And his plan to rescue a banking system burdened by $600 billion in bad loans remains tied up in the Japanese parliament. The United States has been pushing with growing intensity for Japan to act more decisively -- a point Rubin said he would make in the meeting -- at a time when world financial markets are in turmoil, the Russian economy is in chaos and many nations are plunging into deeper recessions. The meeting in San Francisco was taking place after financial markets had closed in New York. The Dow Jones industrial average closed down 42 points, making Wall Street's drop for the week a total of 411 points. On Friday, markets across Latin America also took steep dives. Rubin said he did not expect a negative reaction if his San Francisco meeting, which President Clinton earlier in the week had described as ''profoundly important,'' did not produce a significant breakthrough. Both Japan and the United States in recent days sought to play down any expectations for the meeting, and thus the markets' reaction should not be adverse, Rubin said. U.S. officials face a dwindling list of options as the world financial crisis that began a year ago in Asian countries, hit Russia and is now threatening Latin America hits closer to home. But the United States has much riding on the outcome. Although the U.S. economy remains strong, the fear is that the troubles could result in a global recession that would drag down the American economy, which depends in part on selling to customers overseas. President Clinton's high job-approval ratings are closely tied to the so-far stellar economy, polls indicate. The government reported Friday the nation's unemployment rate held steady at 4.5 percent, near a 28-year low. But job growth is starting to slow in some industries. Besides Asia's troubles, the Russian economy is in a virtual free-fall after a botched devaluation of the ruble last month. Russia has failed to stabilize despite assurances by Clinton during this week's visit to Moscow that the U.S. stands ready to provide more financial assistance once Russia enacts needed reforms. Meanwhile, Canada, America's largest trading partner, has seen its growth prospects weaken, and Latin American financial markets from Mexico City to Buenos Aires have fallen sharply as nervous investors started a rush for the exits. Canada, Mexico and the rest of Latin America combined buy 40 percent of America's exports. In an unprecedented effort to calm fears, the International Monetary Fund this week called a meeting of Latin American officials, who pledged Friday to keep their economies stable and remain on the path of reform. Skeptics, though, wonder whether words are enough, believing a rapid recovery of the hardest-hit countries is unlikely. ''These kinds of crises, combined currency and banking crises, often last two to three years at least,'' said Morris Goldstein, a former top IMF economist. Meanwhile, criticism of the Clinton administration and the IMF is increasing. House Republicans are refusing to approve the administration's request for more money for the fund, saying it would be foolhardy in light of the IMF's dismal track record in heading off financial troubles. The administration contends the IMF's brand of belt-tightening and austerity measures is the only option for many troubled countries. c Copyright 1998 The Associated Press

To: Jenna who wrote (14043)	9/5/1998 8:27:00 AM
From: Zeitgeist	Respond to of 120523

A Gem: maybe a good investment - at least a short term play: Check out EMBX: fundamentally great - beaten down by the fact that nobody knows about the company. And the story behind the company is great! I would consider EMBX as a real gem! Z.

To: Jenna who wrote (14043)	9/5/1998 7:02:00 PM
From: tom pope	Read Replies (1) \| Respond to of 120523

Forget hanggliding for a moment and take a look at three of the stocks on your super-beaten-down list from last week - MIND, COTTF and DLIA. Strong recent action (esp. in the light of overall market action) for stocks that were pariahs just a few days ago. (You have COTTF reporting 9/07. The YAHOO site has it 9/14. If the latter is correct, there is still lots of time to watch this one.)