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Strategies & Market Trends : The Stock Market Bubble -- Ignore unavailable to you. Want to Upgrade?

To: Kailash who wrote (2708)	3/16/1999 9:10:00 AM
From: Don Pueblo	Read Replies (2) \| Respond to of 3339

Open Letter to CNBC Dear People; I watch your channel all day, every day the market it open. I like it, and I like what you do. However, I wish to point out a couple of things that appear to me to be a bit inconsistent with your stated goal of providing news about the stock markets and related areas. Several on-air personalities have stated publicly that they do not agree with the assertion that CNBC employees can have an influence on the movement of the stock market. I believe that they may be in error. A few specific examples come to mind. About 2 weeks ago, Maria Bartaromo was reporting on ORCL prior to the opening bell. She said something to the effect that 'investor's may want to stay away from Oracle'. Upgrades and downgrades by brokerage houses are commonly reported as an indication that the specific stock 'should move on the news'. Last week, Joe Kernen became incensed on the air when a guest host suggested (using facts) that Lucent Technologies might be overvalued. He interrupted and then ridiculed the man on national television. Another guest host, Herb Greenberg, stepped out on a limb last week as well, when he carefully and lightly suggested that the prudent investor might wish to examine the valuations of certain securities in the current market. His comments were met with disdain. Sue Herera saw a chart on a stock 2 weeks ago and said, 'Oh, look at that! That looks good!' (It looked terrible, but that's not my point, I like Sue a lot.) You'll probably get to run your "Dow 10,000" special today or tomorrow. I assume this will be a special piece that has been worked up, like your "Dow 9,000" piece. I predict that someone on CNBC will use this "Dow 10,000" special to upbraid people who think this market has topped out. I'm not saying that any of this is "right" or "wrong". But if you think these things don't have an influence on the 'average investor' that watches CNBC, you are dreaming. I realize that anyone who gives a public opinion on CNBC about any specific security is doing just that; giving an opinion. But when the employees of CNBC hand out investment advice on a regular basis, give personal opinions about the future activity of a security, and offer heated opinions about the validity or non-validity of someone else's opinion on the market, they are having an influence on the market. And that's the truth. I don't mind hearing Joe's opinions, or Mark's, or Bob's, or Ron's, or Kathleen's, or anyone else's, because I know what they are worth. I do mind hearing the opinions and then hearing someone assert that the employees of CNBC, and CNBC itself, don't have an influence on investors, (especially five minutes after one of your employees tells me I may want to stay away from Oracle). So if you will, please, watch if the volume picks up precisely when you run your "Dow 10,000" piece, like it does on Joe's Special Fast Runner of the Day, and stop telling me that you are a disinterested third party that is just standing on the sidelines and reporting what you see. And keep up the good work, CNBC is the best. Thanks in advance. TLC