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.

Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: Earlie who wrote (49049)	2/26/1999 11:42:00 AM
From: valueminded	Read Replies (1) \| Respond to of 132070

Earlie: I disagree. You give AG too much credit. As long as the money supply expansion exceeeds the increase in (real) interest rates he can print with impunity. The reason is he knows it implies faith in the currency and its current valuation. Where it runs in to trouble is when the holders of our debts (corporate/govnt/private) begin to lose that faith. You are seeing a little bit of concern now as it is showing up in rising bond yields. You will know when you have the Feds attention when the FED stops adding reserves. At which point, I expect the interest rates to jump further. (imo) Furthermore, the dollar is not limping. It is doing very well(lately) against the yen and the euro. And it will continue to do well as long as we keep Japan convinced they can export its way out of recession. (imo)

To: Earlie who wrote (49049)	2/26/1999 11:56:00 AM
From: wlheatmoon	Read Replies (2) \| Respond to of 132070

Earlie, PC Data also reported that Advanced Micro Devices' (AMD) K-6 chips knocked Intel from the No. 1 spot in computer-chip market share in January. cbs.marketwatch.com.

To: Earlie who wrote (49049)	3/1/1999 5:58:00 AM
From: valueminded	Read Replies (1) \| Respond to of 132070

Earlie / Mike / All A couple of more thoughts for you and others. I am going through the process of building a house, (last built 3 years ago, but have decided to move about 20 miles closer in) For a no inflation environment, consider the following price comparisons: Grading / Hauling +30% Lumber/windows +7% Concrete/brick/masonry +30% Drywall +20% Electrical/HVAC/Plump +8% As a matter of fact, drywall material cost has increased by 50% in three years, but the constancy of labor has held the total increase down to about 20%. Overall, when you weigh in what it costs material wise, I figure about 5%-6% is closer to our inflation. <imo> Also, it looks like I was wrong on expecting a full tech recovery last Friday, but it will be in the cards this week. Given the internet high fiving sessions (oops I mean investment conferences) and our Fed chairmens predilection for printing money to fuel asset inflation. (Although, I believe some bondholders are recognizing that money supply growth which exceeds economic growth by a large supply may not be a good thing for rates) imo