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

To: Dr. Bob who wrote (25163)	10/10/1998 10:10:00 AM
From: Roy F	Respond to of 70976

Thread: An interesting article titled 'Leverage' pei-intl.com excerpt: The amount of leverage within the system has always dictated the degree of the overall decline in combination with the desire to move toward liquidity. Whenever these two forces move together, the degree of panic is raised exponentially.

To: Dr. Bob who wrote (25163)	10/10/1998 10:16:00 AM
From: jason	Respond to of 70976

Wonder if this topic has been discussed here: the implication of dollar's collapse against yen. I would think that this can only be positive for AMAT and other semi equipment companies, since they depend so much on Japanese and Korean memory makers. Yen's strength would not only increase the buying power of those japanese makers, it should also stabilize the korean won (the korean stock market has rallied strongly in the last couple of days) and other asian currencies. Should be interesting to see how would this play out in the next few months. Bluesky

To: Dr. Bob who wrote (25163)	10/10/1998 10:36:00 AM
From: Big Bucks	Read Replies (2) \| Respond to of 70976

Dr Bob, You are correct that AMAT represents a very good price at this level, I believe it will represent a better buy in price before year end. There will be a long bottom basing period before this sector's prospects improve, and plenty of signs of improving business conditions before a major move up. As long as an investor is within 10-20% of the bottom and has a sufficient time horizon they will do ok, IMO. Re:IMO, this is why AMAT maintains strong support in the 20's, because institutional investors understand this. IMO, funds/institutional investors use company fundamentals and the business cycle prospects going forward to determine what stocks to buy/hold. Their job is to increase the value of their investors capital investment year-over-year by selecting companies going into an increasing/improving position. Some institutional investors may have a 2-5 year time horizon for returns, but I'm betting that most have a 1 year horizon based on market conditions and shorter term macro economic outlook with which they manage their portfolios. Thanks for the commentary! Just my opinion, BB