Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Telebras (TBH) & Brazil -- Ignore unavailable to you. Want to Upgrade?

To: Alfredo Nova who wrote (12329)	1/25/1999 2:01:00 AM
From: Tony van Werkhooven	Respond to of 22640

Monday January 25 1999 Brazil Stability expected after six months AGENCE FRANCE-PRESSE in Rio de Janeiro Brazil will need three more months before troubled markets begin to return to normal and six months before economic stability returns, according to finance officials. A new currency regime - introduced on January 15 when the central bank allowed the real to float freely - will need another 90 days to begin to work effectively, central bank president Francisco Lopes said. "The real will recuperate little by little its value, and it may also be possible to lower interest rates [running at 41 per cent annually]," Mr Lopes said. He rejected a moratorium on the government's foreign and domestic debts. "Talk of a moratorium is ridiculous," Mr Lopes said. If Brazil takes "the path of capital controls and eventually a moratorium", it would probably lose foreign investments in the order of US$20 billion per year. The real has lost more than a third of its value in the past 11 days, and dollar outflows in the first 21 days of this month reached $6.9 billion, the central bank said. Finance Minister Pedro Malan said the currency's depreciation could cause inflation, but that it would be temporary.

To: Alfredo Nova who wrote (12329)	1/25/1999 2:06:00 AM
From: djane	Read Replies (1) \| Respond to of 22640

Alfredo, we all have to make our own judgments about various info sources. I truly wish you good luck on your investments. djane

To: Alfredo Nova who wrote (12329)	1/25/1999 1:09:00 PM
From: Madharry	Read Replies (3) \| Respond to of 22640

Re your comments: I believe that UBB is also a good company. I have not seen anything since the DLJ recommendations or since I initially purchased shares in the high twenties that would make me think otherwise, I believe that this is a case of a well managed company victimized by an awful legislative branch and other macro-problems. Similarly NE can certainly not control oil prices no matter how good the company is. I am a long term investor in both UBB and EMT and have no position in NE. With respect to ML and other companies the yahoo thread on BDX (Becton -Dickinson)makes for facinating reading on the disadvantages that uninformed investors face in the current environment. I have never held any position in BDX so I consider myself an unbiased reader of the info and this summary is from the Yahoo thread without any independent verification on my part- approximately a week befor BDX report earning there was mysterious activity in the options market with a downward bias. The stock also started dropping. About three days before the announcement of results two brokerage firms downgraded to neutral and the day before results were released ML upgraded their rating. At the time one of the thread participants questioned ML's motives. After the earning release the stock price dropped sharply amid concerns of less than anticipated revenue increases. At this point personally I do not believe anything but what the market action tells me. That seems to work more often than anything else.