EMERGING MARKETS-Exodus in fear of Y2K?

-- (M@rket.watching), July 22, 1999

Answers

Anybody else notice the dead silence on network news regarding this topic? This gig is almost up folks.

-- a (a@a.a), July 22, 1999.

Just watching on the sideline. No way to time this one. There is an old saying that the market looks 6 months ahead. Just a matter of time.

Good catch Market Watching.

-- Mike Lang (webflier@erols.com), July 22, 1999.

Here's what my IRA mutual funds say: Some mild dislocations, everything probably going to be fine, oh and
One final qualification: At present, large institutional investors overwhelmingly regard Y2K as a manageable problem. Investor sentiment can only go one way from here.

Putnam Investments

Berry.

-- Berry Picker (BerryPicking@yahoo.com), July 22, 1999.

I particularly like the very last line:

"Some investors will sell because they think others will sell, and do not want to be caught out by sudden illiquidity."

Actually, the smart ones don't want to be caught out by the firm going under...

-- Mad Monk (madmonk@hawaiian.net), July 22, 1999.

IMHO, when Japan tanks, THAT will trigger the selling, and it will be an unexpected, unwanted, shocking surprise.

-- Randolph (dinosaur@williams-net.com), July 23, 1999.

Greenspan is a guru for the masses right now. He has done such a superior job of conning everyone, that even negative intonation is overlooked. You would think his a-- smelled of roses. What exodus?

-- Gia (laureltree@hotmail.com), July 23, 1999.

I am glad I just closed my Putnam account. I do not believe these guys get out much.

-- y2k dave (xsdaa111@hotmail.com), July 23, 1999.

Gia -

Not sure what you mean. The markets seemed to have heard Mr. Greenspan pretty clearly, if the declines yesterday and today are any indication. I watched some of his speech last night, and he was about as negative as he could be based on current data: A Warning From The Fed

...Greenspan, who first worried about irrational exuberance in the stock market in December 1996, raised those concerns anew Thursday. Recent record highs in stock prices could be indicating the presence of an asset bubble, meaning when prices burst and fall back to more realistic levels, investors could face painful losses, he said.

It is the job of economic policymakers to mitigate the fallout ... and hopefully ease the transition to the next expansion, Greenspan said.

Phrases like "asset bubble" and "fallout" are not exactly warm fuzzies to investors. He was even more negative in other parts of his speech.

What I found equally interesting were some of the questions from the Congresscritters. Maxine Waters came across as a bit of a twit, asking Greenspan if he would promise to "never, ever raise interest rates again." Everyone laughed and Greenspan said he could not really promise anything. Jim Leach asked if Greenspan would fight deflation as hard as he fights inflation - of course, Greenspan answered "Yes" (using 8 sentences to do so.)

Most enlightening. A rather nervous bunch of Congressfolk on that panel...

-- Mac (sneak@lurk.hid), July 23, 1999.

Mac- What has been seen yesterday and today is almost an exact mimic of what happened a couple of weeks ago. After the loss of a couple of hundred points, the market rebounded to yet a new high. There is no reason to think it will not happen again. Inflation seems to mean little to investors that in their lifetime have never had a higher net worth than they do now. Greenspan will yo-yo till the gigs up. The markets are simply no longer reality based.

-- Gia (laureltree7@hotmail.com), July 23, 1999.

Study predicts millennium exodus from Europe stocks

-- (another@market.watcher), July 24, 1999.