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Enron Mail |
My intentions were not to lose you 30%. If you look at the trail of unrelated
events that unfolded over the last 2 years it is easy to understand why the mkts have done so badly. This however does not help people's frustration over the way the markets have performed over the last 2 yrs. LOOKING BACK (1999-2001) 1. Y2K- $ spent on technology Gov~t allowed free flow of money into system 2. DOT COM EXPLOSION-overvalued companies-3-4x- no value-no substance 3. SEPT. 2000- MIDDLE EAST NON-EVENT THREAT of WAR 4. MEDIA- OCT. 1987- comparing today to 1987-self fulfilling prophecy 5. SOLID TECH COMPANIES 3Q earnings off due to Y2K slow downs 6. U.S. PRESIDENTIAL ELECTION 7. ENERGY CRISIS- led to low retail sales 8. DEC. 2001 RETAIL SALES DECREASED- worst in 17 years 9.MEDIA HYPE RE: RECESSION- businesses quit spending 10. SEPT. 11/02- panic, emotions run rapid, sell- drives mkt lower 11. ENRON SCANDAL LOOKING AHEAD (2002) DECREASED INTEREST RATES- 12 months to see effects- lowest in 40+ yrs DECREASED INFLATION DECREASED INVENTORIES & STAFF ENCOURAGING GOVERNMENT FISCAL POLICY IMPROVING CONSUMER CONFIDENCE HISTORICAL RECORDS OF MARKET REBOUNDING I just want to reposition some funds you now own so going forward you will better opportunity for gain. I personally feel if we have another bad year like the last year you will see massive layoffs and bankruptcies. In those going broke will be the banks. bmg
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