To: Vitas who wrote (35614 ) 12/23/1998 1:42:00 PM From: James F. Hopkins Respond to of 94695
Vitus; I'm seeing that, the MDY is climbing faster than the SPY, and it can do that for a while..in looking I also see that the big surge in midcaps is in the smaller internuts..their combined run up, is even outdoing AOL going into the S&P.. Sure looks very speculative to me, yet they could run for a bit I have long thought the small caps in general were due for a run up before any big melt down. --------------- It's to early to say, but the reverse in the long bond; it can't or go back up much and the stock market also go up , at least not for too long. The one thing that stood out in the 87 crash was the 30yr rate kept going up as the market went up, of course what I see now is not much to worry about, just something to keep an eye on. At this time I think the bond is selling off some to cash in on the dollar having gained back a little of it's loses. It's like profit taking in the swaps market, they bought the bond not long ago with cheap dollars, so any run up in the dollar, makes selling it profitable.. ------------------ And we have this biz.yahoo.com more liquid and more liquid, what happens when the FED turns the spigot off. Or fears start about making the interest payments on all that debt being created and swept under the rug. Going to have to have a Tax increase just to take care of the additional debt. The so called budget surplus is and was a joke. How can we have a surplus and at the same time owe more money. The surplus sham is non-sequitur ( a statement that does not follow logically from what precedes it )...or it can be classified as an Equivocation trick, which is the first fallacy in language. So 2 and 3 is less than 4 , but 2 + 3 = 5.. and away we go. Jim