Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : Formerly About Applied Materials -- Ignore unavailable to you. Want to Upgrade?

To: John L. who wrote (24648)	9/26/1998 9:38:00 PM
From: Gottfried	Read Replies (1) \| Respond to of 70976

John, [edited] I'm honored that you ask me such a weighty question as >Do you think a lower fed rate will spur new investment in semi equipment?< I had not thought about it, but on reflection I must say "No". The reason is that demand for chips is still less than capacity to make them. Taking DRAM as an example: prices have begun to drop again. smithweb.com I realize equipment must be bought far ahead of actual chip demand. But recently released PC unit growth projections do not look great (even if Dell thinks they can grow by taking market share). And I think chip companies will be careful and look for some of the clouds to lift before spending on equipment. I'm just projecting my fears on the industry, though. Maybe the way the futures look right now contributes to my pessimism cme.com Gottfried