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Technology Stocks : Dell Technologies Inc. -- Ignore unavailable to you. Want to Upgrade?


To: freeus who wrote (129796)5/29/1999 12:56:00 AM
From: TTOSBT  Read Replies (1) | Respond to of 176387
 
Re: ".but doing it to investors in the middle when already holding stocks is very unethical in my opinion and I'm wondering if its helping cause a correction."

Greenspan wants to cut down on John Q Public's market wealth. Dell is a wealth maker and so is margin investing when interest rates are low. He cannot raise interest rates because of the world economies troubles which will eventually take us down. Therefore he's talking up interest rate fears because there is no inflation to be found. That scares everyone share holders sell stocks and brokers cut margins to grow cash positions. He will be making a speech someplace next Wednesday let's see how aggressive his fear touting will be. I think it depends on how well or high the markets are? ONLY IMO.

TTOSBT



To: freeus who wrote (129796)5/29/1999 8:52:00 AM
From: Frank Ellis Morris  Read Replies (1) | Respond to of 176387
 
Freeus, I think the margin calls was accelerating the correction and I agree with you about margin changes for investors already holding is unusual. Wish you well and hope that things get better for you in the coming weeks.

Best Wishes
Frank



To: freeus who wrote (129796)5/29/1999 10:26:00 AM
From: Matthew L. Jones  Read Replies (1) | Respond to of 176387
 
I hadn't thought of the change in maintenance requirements helping to cause the correction, but it may very well be contributing. Fortunately I have had the money available to meet the calls, but I'm sure most small investors/speculators don't have the cash. I'm about ready to scale back my use of margin significantly for just that reason. Maybe fully invest my cash and use the margin for my "cash" allocation in my portfolio. Maybe go as high as 125% invested at any given time but no higher. I'd be interested to know what kind of money management ideas you might have to balance between maximizing your returns and yet minimizing your risk exposure.

Matt