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Strategies & Market Trends : HONG KONG -- Ignore unavailable to you. Want to Upgrade?

To: Tom who wrote (2320)	9/15/1998 10:25:00 PM
From: MikeM54321	Read Replies (1) \| Respond to of 2951

From Bill Fleckenstein's Market Rap: "George (Soros) followed up his editorial by telling Congress that the Mexican bailout created a severe moral hazard for lending institutions because they were made whole. This has been a sort of hobbyhorse for me. To put my words in George's mouth, Mexico was the quintessential example of moral hazard. Many of the problems we are seeing now are a result of the terrible example we set by bailing out everyone in Mexico." Tom Yarnall (and Ron Bower), Isn't the above exactly what you both are saying about hazards of the IMF stepping in to bail out troubled economies? I believe this was Tom's viewpoint a while back when we were discussing it. The IMF wasn't involved in Mexico, but the example of a, "bailout" is the same, nonetheless. Kind of ironic that George Soros is feeling the same way? Or did I get something wrong? I didn't pay detailed attention to his remarks, but I believe he was...well this post is going nowhere. I need to gather some more facts. But feel free to comment. Tom, as I recall, last you and I left it, you were starting to form an opinion regarding the IMF. That was a few months ago. Have you come to any conclusions. I would like to hear your opinions if you have formed any. Thanks, MikeM(From Florida)

To: Tom who wrote (2320)	9/16/1998 9:45:00 AM
From: Ron Bower	Read Replies (1) \| Respond to of 2951

Tom, "Anyone see anything on the enormous amounts (tens of billions) of Mainland cash soon to enter the SAR?" Have seen nothing on this in my readings. Where did you get it? Did see they were clamping down on illegal yuan conversion to prevent $US outflow. Last week it was reported people were converting $US to yuan on fears of a $US devaluation and they were selling yuan for $US to stabilize. This market is based more on unfounded rumors than actual events. You been reading the articles about property sales in HK and China? Developers having more buyers than units when they lower the price. Cannot believe that 600SF flats selling for US$250,000 and buyers standing in line all night to buy. China real estate sales to individuals up 77% from last year. TIA, Ron