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Technology Stocks : K-Tel (KTEL) Have the cheesy '70s records come to an end? -- Ignore unavailable to you. Want to Upgrade?

To: Glenn D. Rudolph who wrote (2589)	11/11/1998 8:14:00 PM
From: Tom Hua	Read Replies (1) \| Respond to of 3203

Wednesday November 11 6:45 PM ET Stock buying frenzy ends abruptly By David Lazarus SAN FRANCISCO (Wired) - The feeding frenzy for Internet stocks came to an abrupt halt Wednesday as all those fatty market caps finally gave investors a scorching case of heartburn. Shares that rocketed to record highs over the past 48 hours suddenly found themselves spiraling back to earth. Sure, hopes are running high that more shoppers will purchase goodies online this holiday season. But the massive run-up in prices for Net stocks since Monday reflected nothing more than wishful thinking that the slot machine has to pay off sooner or later. ''The fundamentals weren't there,'' said Rao Chalasani, chief investment strategist at Everen Securities. ''Look at K-tel doubling in just one day. It's not as though they received approval for a new drug or something like that. There are no fundamentals to justify doubling in one day.'' Actually, K-tel International Inc was one of the few Net stocks to remain stratospheric. After soaring more than 90 percent on Tuesday, the company's shares climbed another $9.69, or 42 percent, to $32.63. Elsewhere in the market, worries about interest rates and a possible military strike against Iraq sent traders scurrying for cover.