Re: FREE READING

["William Ferris" <billferris@worldnet.att.net>]

Your logic is somewhat circular when you say the soft market is the result
of the rebates.  The rebates are much more a function of the changes in
currency between $ and DMark.  This is true with almost all camera
equipment as the dollar has strengthened against the DMark and Yen.  It
seems to me the camera manufacturuers risk putting themselves in the same
box many auto companies are in.  People will wait for the next round of
rebates so they become a permanent fixture.  

Bill

- ----------
> From: Stephen <cameras@jetlink.net>
> To: leica-users@mejac.palo-alto.ca.us
> Subject: Re: FREE READING
> Date: Friday, July 11, 1997 9:04 PM
> 
> Ben Holmes wrote:
> > 
> > Fuji is here in my town. The guy who started that shop sold it, at what
he
> > felt was the top of the Leica market. The top, you say? Yes. Take
notice of
> > the prices lately on used M's - they are getting soft.
> snip
> > 
> > Having been around the block a few times, I'd have to assert that this
> > bubble is over.
> 
> The Japanese are such huge Leica buyers in the American market that our
> used M market follows the Japanese.  High M prices were a reflection of
> the favorable Yen to dollar rate, something like 100 Yen to the Dollar. 
> As the rate rose to 140 Yen to the Dollar, the Japanese backed out and
> the  bubble burst.  They will be back when the exchange rate eventually
> changes again. 
> 
> Unlike the Ferrari market, the Leica market was simply based upon the
> exchange rate, not speculation of next weeks prices.
> 
> The other factor bringing used M body prices down is the artificially
> low prices of M6's while the $500 rebate is on.  With low M6 user
> prices, the M4P/M4 users naturally fall as well. Of course the rebate
> will end, and then the FUN will begin.  
> 
> Leica is preparing some sort of high eye point M6 variation.  If the
> price is a LOT higher than the regular M6, used M6 bodies could take a
> hefty price increase once the rebate is off.  IF the high eye point
> price is close to old M6 prices, the older model could be reduced in
> value.
> 
> With Leica dumping so many M6's with the rebate, I hope the reason
> behind it is the M7 waiting in the wings.  
> 
> As if all of this were not enough, two new M mount cameras are nearing
> production in Japan (no, not with the Leica name tag).  I haven't seen
> them, but a friend of mine has. That was all he was able to tell me, but
> his information has always been accurate in the past. 
> 
> Stephen Gandy