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Strategies & Market Trends : Tech Stock Options -- Ignore unavailable to you. Want to Upgrade?


To: ViperChick Secret Agent 006.9 who wrote (53370)9/20/1998 11:11:00 PM
From: Gersh Avery  Respond to of 58727
 
The yen seems to have become detached from our markets lately.

This is mostly because of the massive moves that our markets have made all by themselves.

Now, instead of the yen having a inverse relationship with the long bond, the yen has been taken out of the picture because of flight to quality moves from our own stocks.

Having said that .. stocks could, at times, take their lead from movements in the bond. That is, if the long bond moves up then stocks take the hint and drop .. or the bond moves down and moves stocks up.

I have seen a couple of times lately that a dip in bond prices have led into a jump in stocks .. mostly stocks have been in the lead. Mon. and Tues. last week were examples of bonds dropping first before stocks moving up. Money gotta come from somewhere .. costs a lot to move the DJIA up.

Anyway what I mean by all of this is that liquidity form Japan could flow from Japan to the US .. if so then it would go into bonds... It's gonna be real hard to tell because of the flight to quality from our own stock market.

If the net gives you any pain in the AM, jump for the phone ..

Gersh