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To: Eddie Kim who wrote (63979)9/7/1998 1:24:00 PM
From: Lee  Read Replies (1) | Respond to of 176387
 
Hi Eddie,..Re: The defintion of a bear market is a 20% correction from the top.

In order for a bear market to exist usually there must be an accompanying economic slowdown. We are not experiencing adverse economic conditions and therefore, although one can term a 20% correction as a bear market, in reality it must happen concurrently with adverse economic conditions.

Given that we still have a strong economy with falling interest rates and inflation, almost full employment and a very happy consumer, it's unlikely that anyone can label the current correction other than over-reaction to global events. (Unless they want to strictly stick with a number.)

JMHO

Lee



To: Eddie Kim who wrote (63979)9/8/1998 3:07:00 AM
From: nihil  Respond to of 176387
 
RE: Definition of a bear market ...

Where did that 20 per cent come from? A "bear market" is defined everywhere in the literature as a sustained period of falling prices. See Barron's Finance and Investment Handbook, or any dictionary.