PaineWebber Index Shows Investor Confidence in U.S. Economy Threatened More by Iraq Bombing Than by Impeachment Hearings.NEW YORK--(BUSINESS WIRE)--Dec. 18, 1998--American investors say the conflict with Iraq Iraq or Irak (both: ēräk`, ĭrăk`), officially Republic of Iraq, republic (2005 est. pop. 26,075,000), 167,924 sq mi (434,924 sq km), SW Asia. will do more to destabilize de·sta·bi·lize tr.v. de·sta·bi·lized, de·sta·bi·liz·ing, de·sta·bi·liz·es 1. To upset the stability or smooth functioning of: the U.S. economy than the threat of Presidential impeachment impeachment, formal accusation issued by a legislature against a public official charged with crime or other serious misconduct. In a looser sense the term is sometimes applied also to the trial by the legislature that may follow. , according to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. the Index of Investor Optimism. A joint effort of PaineWebber Incorporated and the Gallup Gallup, town (1990 pop. 19,154), alt. 6,515 ft (1,986 m), seat of McKinley co., NW N.Mex., on the Puerco River near the Ariz. line; inc. 1891. It is a rail and trade center in a large mining, timber, and ranching area. Organization, the Index shows that 54 percent of investors say the conflict in the Middle East will hurt the U.S. investment climate. About 45 percent of investors say impeachment hearings will harm the economy: 18 percent say the hearings will have a great deal of impact, while 27 percent say they will have only a small effect. Full Index findings will be released in early January January: see month. . Concerns about the dispute in Iraq ranked fourth among eight scenarios that were presented to Index respondents In the context of marketing research, a representative sample drawn from a larger population of people from whom information is collected and used to develop or confirm marketing strategy. as potentially harming the economy. Investors were most concerned about the destabilizing effect of events such as war and financial crises in Asia, including those in Japan, and their spread to Russia Russia, officially the Russian Federation, Rus. Rossiya, republic (2005 est. pop. 143,420,000), 6,591,100 sq mi (17,070,949 sq km). and Brazil Brazil (brəzĭl`), Port. Brasil, officially Federative Republic of Brazil, republic (2005 est. pop. 186,113,000), 3,286,470 sq mi (8,511,965 sq km), E South America. . The majority (88 percent) of investors said problems in Asia were hurting the investment climate either a little or a lot, followed by problems in Russia (75 percent) and Brazil (59 percent). Investors were less concerned about the impeachment hearings (50 percent) the financial rescue of Long Term Capital Management (41 percent), conflicts in Kosovo (26 percent) and the replacement of Newt Gingrich as Speaker of the House of Representatives (12 percent). "When evaluating the effects of current events on the American economy, investors clearly are more concerned about world affairs Noun 1. world affairs - affairs between nations; "you can't really keep up with world affairs by watching television" international affairs affairs - transactions of professional or public interest; "news of current affairs"; "great affairs of state" than with domestic politics," said Mary C. Farrell, PaineWebber's senior strategist strat·e·gist n. One who is skilled in strategy. Noun 1. strategist - an expert in strategy (especially in warfare) strategian market strategist - someone skilled in planning marketing campaigns . "Broadly speaking Adv. 1. broadly speaking - without regard to specific details or exceptions; "he interprets the law broadly" broadly, generally, loosely , investors are concerned about destabilizing effects of events such as war and the spread of 'Asian flu,' not the fate of the President. Investors understand that our political system provides a clear succession path, and as such, the removal of the President would not have the same destabilizing effect in the U.S. as would a similar event in many other countries." The ninth Index of Investor Optimism was conducted from November 9 to December 7, 1998. To track and measure Index changes on an ongoing basis, new samplings are taken quarterly. Dennis J. Jacobe, research director for Gallup, said the sampling included 1,001 investors randomly selected from across the country. For this study, the American investor is defined as any person who is head of a household or a spouse spouse A legal marriage partner as defined by state law in any household with total savings and investments of $10,000 or more. Nearly one-third of American households has at least this amount of savings and investments. For more than 60 years, the Years, The the seven decades of Eleanor Pargiter’s life. [Br. Lit.: Benét, 1109] See : Time Gallup Organization has been a recognized leader in the measurement and analysis of people's attitudes, opinions and behavior. While best known for the Gallup Poll Gallup Poll Noun a sampling of the views of a representative cross section of the population, usually used to forecast voting [after G H Gallup, statistician] Gallup poll n → , founded in 1935, Gallup's current activities consist largely of providing marketing and management research, advisory services advisory services advisory services provided to the public, in their capacity as owners and managers of animals, are an important part of veterinary science. They may be provided by government bureaux, by commercial companies who deal in pharmaceuticals or animals or animal and education to the world's largest corporations and institutions. Paine Webber Paine Webber and Company was an American stock brokerage firm that was acquired by the Swiss bank UBS AG in 2000. The company was founded in 1880 in Boston, Massachusetts, by William Alfred Paine and Wallace G. Webber. Group Inc., together with its subsidiaries, serves the investment and capital needs of a worldwide client base. The firm employs 17,424 people in 299 offices. -0-
Index of Investor Optimism
Events Affecting the Investment Climate
PaineWebber Incorporated and the Gallup Organization
To what degree do you think the following situation is affecting the
investment climate?
1. The current financial crisis faced by several Asian nations
Dec. 1998 Sept. 1998 March 1998
percent percent percent
a) Hurting a lot 51 49 33
b) Hurting a little 37 39 45
c) No effect on investment climate 5 8 13
d) Helping a little 5 2 3
e) Helping a lot 1 * 2
f) Don't Know/Refused 2 2 4
2) The dispute between the United States and Iraq
Dec. 1998 Sept. 1998 March 1998
percent percent percent
a) Hurting a lot 19 21 23
b) Hurting a little 35 34 38
c) No effect on investment climate 34 38 29
d) Helping a little 10 4 6
e) Helping a lot 2 1 2
f) Don't Know/Refused 1 1 2
3. The economic problems in Russia
Dec. 1998 Sept. 1998
percent percent
a) Hurting a lot 23 45
b) Hurting a little 52 39
c) No effect on investment climate 18 12
d) Helping a little 3 3
e) Helping a lot * *
f) Don't Know/Refused 3 1
4. The economic problems in Brazil
Dec. 1998
percent
a) Hurting a lot 11
b) Hurting a little 48
c) No effect on investment climate 25
d) Helping a little 3
e) Helping a lot *
f) Don't Know/Refused 12
5. The disputes in Kosovo
Dec. 1998
percent
a) Hurting a lot 5
b) Hurting a little 21
c) No effect on investment climate 48
d) Helping a little 2
e) Helping a lot *
f) Don't Know/Refused 24
6. The impeachment hearings in the House of Representatives
Dec. 1998
percent
a) Hurting a lot 18
b) Hurting a little 27
c) No effect on investment climate 50
d) Helping a little 1
e) Helping a lot 2
f) Don't Know/Refused 2
7. The bailout of the Long Term Capital hedge fund organized by the
Federal Reserve
Dec. 1998
percent
a) Hurting a lot 13
b) Hurting a little 28
c) No effect on investment climate 15
d) Helping a little 12
e) Helping a lot 3
f) Don't Know/Refused 29
8. The replacement of Newt Gingrich as Speaker of the House
Dec. 1998
percent
a) Hurting a lot 4
b) Hurting a little 8
c) No effect on investment climate 52
d) Helping a little 16
e) Helping a lot 16
f) Don't Know/Refused 4
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