Not that I disagree with Rob, but don't trust the Nikkei: Japan's stock market isn't
in
such a bad shape. That index has been reshuffled recently and many "hi-tech"
stocks have been added. The "old Nikkei" is not at 16 years low, as they say.
Forget Bezos and Buffet. What did we say several monthes ago? When Cisco
collapses, the whole bubbly sector is going to collapse with it. Late last week,
Cisco's boss said that he sees no recovery in capital expenditure soon (the
company sells capital goods) and his stock was sent down to 20 dollars
(remember, the "floor" for the stock used to be at 50 dollars). If you want to see
what's happening to the bubble, don't watch any index, watch the mighty CSCO who
used to be America's biggest corporation (in terms of market capitalization). This is
a five-year chart of Cisco (it has more than 7 bil. chares):
http://quote.bloomberg.com/gcenter/gcenter.cgi?iquote=CSCO&PERIOD=
5Y&equote1=&equote2=&equote3=&EXCH=US&T=markets_gcenter99.ht&x=34
&y=9
Anyway, don't get carried away with that stock-market thing. As long as the dollar
and the debt markets hold, the US system will hold. And those are still pretty solid.
More solid than before Greenspan's cut in fact.
BTW Rob, please tell us what's happening with the Indonesian rupiah.
Julien
_______________________________________________
CrashList website: http://website.lineone.net/~resource_base
