Computer and peripherals industry

Demand for personal computers is high, especially in the small business and home markets. Mainframe sales have also increased, and sales of disk drives and other components are high as a result. However, the personal computer market has leveled off and some potential customers are deferring purchases. International and US economic growth for the next three to five years will be good for these industries. These stocks will outperform the market through 1998-2000.