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Technology Stocks : Amazon.com, Inc. (AMZN) -- Ignore unavailable to you. Want to Upgrade?

To: Herring who wrote (19432)	10/1/1998 12:48:00 PM
From: Rob S.	Read Replies (1) \| Respond to of 164684

With so few actual results to justify the current price, the stock trades more on the greed and fears of investors than anything else. So when more fear or greed creeps in from the surrounding environment, the stock responds accordingly. Also, AMZN has tracked very well with other leaders in the sector. Some of this is because sector funds tend to buy/sell the group but also because other investors tend to look at the fortunes of the leaders as being tied together. That despite the fact that all Amazon has to show is greatly increasing losses, steeply decelerating sales growth, increased competitive pressures and loss of market share. Meanwhile, AOL's & Yahoo!'s business plans and market position are much different - they are increasing profit levels and reach. You can argue that their stock prices are currently highly speculative, but at least there is something more substantial to back up the speculation. for the time being anyway, NZMA will trade in correlation to the other "leaders" but I think that coupling will end by the first quarter of next year. It could happen as soon as when this quarter's results are reported. If they show a further decline in sales growth and market share, then AMZN could begin its inevitable, IMO, slide and dissassociation from the leaders.

To: Herring who wrote (19432)	10/1/1998 1:19:00 PM
From: e. boolean	Read Replies (1) \| Respond to of 164684

>>It is amazing how this follows the dow changes. NZMA has been tracking the INDU more closely than can be accounted for by anything other than a trading program of some kind. Otherchap first mentioned it a few weeks ago, and it really struck me over the past ten days. YHOO and AOL have tracked now and then, but with NZMA it has been creepy. It's like that movie about how the moon landings were faked -- I got the impression that they are only simulating "market" behavior generated by individual buyers and sellers. I actually wrote to the SEC to put in my two cents about the NZMA/INDU correlation and how I foresaw scandals about manipulation that would lead to massive loss of confidence in the markets on the part of individual investors. This was right before the LTC story broke. I think we're in for that massive loss of confidence, but NZMA will turn out to be just a small scandal in the entire mess. e.b.