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

To: Knighty Tin who wrote (53288)	3/24/1999 9:50:00 AM
From: Freedom Fighter	Read Replies (3) \| Respond to of 132070

Abby Strikes Again >>NEW YORK (Reuters) - Abby Joseph Cohen, Goldman Sach's chief market strategist and one of Wall Street's most widely respected stock analysts, raised her 1999 target for the Standard & Poor's 500 index to 1,325 based on an improved outlook for corporate profits, the firm said Wednesday. Cohen, who previously expected the benchmark stock index to hit a range of 1,275-1,300 by the end of this year, expects 1999 and 2000 to be years of ongoing profit expansion with better aggregate gains than in 1998, which was a disappointing year, a spokesman for the firm said. Cohen was not available.<< If drug companies ever figure out how to manufacture happy pills that may you see the world through Abby's eyes maybe they would be worth 50-75 times earnings. Wayne Crimi

To: Knighty Tin who wrote (53288)	3/24/1999 11:49:00 AM
From: yard_man	Respond to of 132070

It is typical when puts go in the money for premie to disappear ... I don't think that's what everyone is talking about here, Michael. It is the disappearance of time premium when the underlying drops from 20 - 30 points away from the strike to within a buck or two and the premium expands in a rather puny way. Usually such a fall on a sufficiently volatile tech stock, a DELL, MU or INTC for instance, will get you any where from 2 1/2 to 3 times. Lately declines happening in the last 3 - 4 weeks, its been good for about 2x, if that. These weak expansions in the premium could be accounted for a little by time erosion, but I think there is more going on. I think the market makers of the options are convinced we go back up.

To: Knighty Tin who wrote (53288)	3/24/1999 11:29:00 PM
From: Eggolas Moria	Read Replies (1) \| Respond to of 132070

Long-Term Capital May Start Paying Off its Banks by June as Money Rolls In Long-Term Capital May Start Paying Off its Banks by June New York, March 24 (Bloomberg) -- Long-Term Capital Management LP is making so much money it may start paying back the 14 banks and securities firms that rescued it six months ago. The Greenwich, Connecticut-based hedge fund, founded by former Salomon Inc. Vice Chairman John Meriwether, may start making the payments by June, people with knowledge of the group's plans said. Details are being hammered out by the six-bank committee that oversees the fund and are scheduled to be presented to the firms in the next two weeks. Goldman Sachs Group Inc., Merrill Lynch & Co., J.P. Morgan & Co. and 11 other firms pumped a total of $3.6 billion into Long- Term Capital in September, after it lost $4 billion. They took a 90 percent stake rather than risk the tremors a total collapse would have sent through global financial markets. The banks contributed $100 million to $300 million apiece for as long as three years. Since then, Long-Term Capital's profits boosted its net assets by about 25 percent to about $5 billion at the end of February from $400 million just before the cash infusion. The key was the recovery in world bond markets after Russia's default in August touched off a rout that decimated the hedge fund. Long- Term Capital had made wagers of more than $125 billion, mostly with borrowed money. At next month's meeting, the oversight committee will outline a blueprint for the fund that may allow Meriwether and his 13 partners, including former Salomon traders Eric Rosenfeld and Lawrence Hilibrand, to start raising money within a year, the people said. A spokesman for the group of banks declined to comment on the committee's plans.