Answer found written in the margins.

Australasian Business Intelligence, August, 2005

Byline: Corinne Lim

Aug 17, 2005 (The Australian Financial Review - ABIX via COMTEX) -- The US S&P 500 index has gained only 0.6 per cent for the year to 17 August 2005. This compares with 13.8 per cent for the Dow Jones Euro Stoxx Index, 7.3 per cent for the Nikkei

in Japan and 10.5 per cent for Australia's S&P/ASX 200. ABN Amro analyst, Dario Perkins, says the difference is due to profit margins. Even though the US economy is growing strongly, the market expects profits to shrink in 2006. US wages are beginning to move and further rises in interest rates are expected. Unless companies can pass on higher costs to consumers, margins will fall.

Publication Date: 18...

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