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Politics : Idea Of The Day -- Ignore unavailable to you. Want to Upgrade?

To: IQBAL LATIF who wrote (21330)	11/11/1998 3:07:00 PM
From: steve susko	Read Replies (1) \| Respond to of 50167

SOX lone stand out today. Most likely becaue of Asian recovery. Are you planning to short the T-Bond?

To: IQBAL LATIF who wrote (21330)	11/11/1998 5:05:00 PM
From: IQBAL LATIF	Respond to of 50167

Blue skies seen for chip industry Trade group expects 9.1 % growth in 1999 By Tiare Rath, CBS MarketWatch Last Update: 4:39 PM ET Nov 11, 1998 NewsWatch SAN JOSE, Calif. (CBS.MW) -- Some of the most beat-up areas of the semiconductor industry will turn around the struggling sector and fuel a 43 percent growth rate over the next three years, an industry group reported Wednesday. Coming off a dismal year, the Semiconductor Industry Association said chip manufacturers should see overall growth of 9.1 percent in 1999. While that won't be enough to make up for 1998 losses, the group said it will start the ball rolling to heftier growth through the early part of the millennium. In 2000, the chip business should grow by 15.2 percent, with an 18.2 percent increase expected the year after that. The Semiconductor Industry Association's outlook could lift shares Thursday of chip names like Intel (INTC), Advanced Micro Devices (AMD), and Micron Technology (MU). Those stocks were on fire Wednesday as Intel projected stronger-than-expected revenue in its fourth quarter. See related story. "The underlying fundamentals of the semiconductor business are strong," said Steven Appleton, an industry group member and chairman of Micron Technology. "There is no question this industry will continue to drive the world economy in technology advancements and value added to raw materials," he said. The Semiconductor Industry Association is a San Jose, Calif.-based trade association representing the computer chip industry. The organization releases its closely-watched industry forecasts twice every year. The association projected the semiconductor market in 1998 will total $122 billion, off 11 percent from last year. In 1999, however, the industry predicted sales will be $133.4 billion. Breaking News Blue chips sink; techs rise Blue skies seen for chip industry IPO market finally leaps into action Excite wins $125 million banking pact Baron vies for vast stake in Homestake More top stories... CBS MarketWatch Columns Updated: 11/11/98 4:44:24 PM ET Over the past two years, semiconductor companies have been whip-sawed as the economic slowdown in Asia hampered demand for their products and vicious price wars on chips and memory products cut into profits. Memory, microprocessors to lead The association predicted three sectors -- memory chips, microprocessors and digital signal processors -- will lead the 1999 rebound. Memory chips and microprocessors have been two of the worst-performing sectors this year. Two parts of the chip market that suffered heavy losses this year -- analog and discretes -- will see slower turnarounds but will still post growth. While memory chip sales are expected to fall 25.7 percent in 1998 to $21.8 billion this year, sales will rise 18.1 percent in 1999, the SIA estimated. In 2000, the group projected revenue from memory chips will increase 23 percent and surge 28 percent in 2001. DRAM, micro devices and analogs Dynamic random access memory, or DRAM chips, whose sales have taken a beating in 1998 and will likely finish 34.8 percent lower than 1997, will have a "strong recovery," the forecast said. DRAM chips should grow 25 percent to $16 billion in 1999 from 1998 levels. During 2000, DRAM sales will rise 28 percent, and the market will launch 35 percent in 2001, the industry group reported. Micro devices are likely to finish the year down 3.1 percent with revenue of $46.3 billion but rise 9.4 percent in 1999. The sector should grow 15.9 percent and 17.9 percent in 2000 and 2001, respectively. Analogs will post slower growth in 1999 compared with other industry sectors. Analogs will decline 4.6 percent in 1998 with $18.9 billion in sales and will grow 7.7 percent in 1999. In 2000, the sector is expected to increase 15.5 percent in 2000. and grow again by 17.8 percent in 2001. Microprocessors will also show strength over a 1998 growth of 0.6 percent. In 1999, sales will rise 8.4 percent, and are expected to grow 15.9 percent in 2000 and 17.6 percent in 2001. Tiare Rath is a reporter for CBS MarketWatch. !