| Psychologically important stock index price levels have
just been breached with the TSE breaking 8000, the Dow Jones falling under
10,000 and the Nasdaq declining below 2000. Investor psychology has now
shifted from denial to concern and fear. Patience is now key. We
believe that we have yet to experience the final stage of investor
capitulation. This stage historically has been characterized by extreme despair
with investor liquidation of perfectly sound stocks at distressed prices.
It is at this point that astute opportunistic investors with ample cash reserves
can take advantage of a huge cyclical buying opportunity which usually occurs
only once or twice a decade. |
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