But, but, but.... they said it was a bull trap.

HAMISH_MCTAVISH

No, you smegging idiot, it was a BULL MARKET....

Hopes for a rapid recovery grew yesterday after the stock market surged and investors celebrated the biggest rally in world share prices for 50 years.

The FTSE index of leading shares reached a ten-month high, rising 45 points to 4,896. The value of all British shares has soared by £454 billion to £1.44 trillion since early March, when some traders were predicting a depression. Worldwide share markets have risen £7.6 trillion in five months, boosting pension funds, endowment policies and private portfolios.

“This is the biggest six-month rally we’ve seen for 50 years,” Graham Secker, a share market analyst with Morgan Stanley, said.

The FTSE 100 has risen by almost 40 per cent since bottoming out in March. The S&P 500, a widely used measure of American shares, is up by almost 50 per cent while some stock markets in emerging countries have more than doubled.

Share prices of Britain’s blue chips came within a whisker of 5,000 as traders became more confident that the economic recovery can be sustained and that the recent pick-up in consumer and business confidence will not fizzle out.
Oil prices hit a ten-month high yesterday as a global equities rally buoyed hopes that the economy — and the demand for oil — may be on the road to recovery. Brent North Sea crude oil for October delivery rose 14 cents to $74.33, while in New York a barrel of light sweet crude touched $74.81, up more than 90 cents, before easing back to close at $74.37.



Nicholas Snowdon, an analyst at Barclays Capital, said: “Prices firmed as optimism regarding the pace of economic activity continues to permeate market sentiment.”

Share prices sank in the aftermath of the Lehman Brothers failure last September but Tim Bond, a Barclays analyst and author of the bank’s highly regarded Equity/Gilt survey, said: “This is absolutely standard post-financial crisis behaviour.” Shares trebled in value in the space of two years after the secondary banking crisis of 1973-74, he said.

But thats just shares...... Maybe it was the housing market they were talking about when they said bull trap.

Oh, wait....

With house prices also posting a 7.5 per cent recovery since they bottomed out in February, according to Nationwide Building Society figures, British families are — on paper — thousands of pounds better off compared with six months ago

But it can't possibly continue..... None of the fundamentals are there, my bear friends told me so.....

Wealth levels — as reflected in house prices and stock market levels — can be an important factor in the economy, boosting confidence among consumers and company directors, which leads to higher spending and greater economic growth.

But, oh, but, hpc said, but......

No, you dribbling dolt......... It's over.

Now shut up and buy a house already.:rotfl:

brit1234

HAMISH_MCTAVISH wrote: »

Now shut up and buy a house already.:rotfl:

Why when they are so over valued and set to fall a lot more. Buying now will put you in negative equity.

digipeep

Go to bed Hamish, you are losing the plot.

I know you are a bear trying to provoke Bulls.

pickles110564

brit1234 wrote: »

Why when they are so over valued and set to fall a lot more. Buying now will put you in negative equity.

Admire your conviction Brit.:T

chopperharris

ftse still down over 20 percent from high , and oil less half of what it was at peak.

Biggest drops in history , big rises on smaller amounts since then.

Its pound of feathers and pound of rocks really.

The media is exstatic about a prolonged bull run , but it was a prolonged bear one as well where the indexes all hit historic lows so historic highs are just that little bit easier.

The crash of 29 lasted until 32 if mem serves , the difference this time around is stimuli.Also rescuing uk banks and our savings abroad held in foreign banks for uk account holders helped , as did miniscule reduction in vat and car scrappages.

But the bad news , debt v gdp will last a long time , inflation , increasing oil prices , commercial property book and credit card debts have still to impact.

HAMISH_MCTAVISH

Spartacus. wrote: »

All hail the 'borrowed recovery' Hamish:D, any bull who is posting this kind of stuff at 2.27am after being up the whole day before (his posts reflect this) is obviously a very worried man. .

Or a bear baiting insomniac that just found a good article and enjoys a bit of shadenfreud......:D

Dan:_4

brit1234 wrote: »

Why when they are so over valued and set to fall a lot more. Buying now will put you in negative equity.

Your silly images will not help you Brit.

House prices are NOT over valued.

Time to make a new sig prediction Brit, the current one makes you look foolish.

Harry_Powell

I'd rather listen to Mark Dampier of Hargreaves Lansdown....

http://www.h-l.co.uk/news/Expert-comment/articles/4632?rq=article

"Recent market data has suggested that the housing recession has now bottomed out. I would be very sceptical of this. True, this year has gone a lot better than most of us housing bears expected but similar to the stock market the housing market seems to have risen on a very low level of transactions.

Indeed the number of houses changing hands is around 50% to 75% less than 18 months or so ago. What does seem to be happening is that the few quality houses that are coming on to the market are being chased by five or six buyers. Not surprisingly this is keeping prices up.

It is certainly true that those who have had tracker mortgages have had a wonderful uplift in terms of what they are paying but unless you are on a lifetime tracker many of these end.

Interest rates are staying low, mortgage rates if anything are rising. If we add in to this a large dose of unemployment, likely to reach between 10% and 12% over the next year, coupled with tax rises and cuts in the public sector you have a potent mix of headwinds for the housing market over 2010.

My advice remains that there is no rush to buy. For first time buyers it seems to me that the rental market offers more, with the cost of renting falling as so many house owners rent their houses out. The very fact that parents are having to help their children buy their first house tells you that the market is overvalued. Don’t be suckered in to the housing market just yet. Be patient, time is on your side."

bendix

Another day, another interminably boring thread on house prices on MSE.

Oh god, make it stop . ..

Really2

bendix wrote: »

Another day, another interminably boring thread on house prices on MSE.

Oh god, make it stop . ..

I can't even argue with Graham for you any more. He stomped off (again) yesterday never to return.

bendix

Again?

Good grief. He's the quintessential drama queen, that chap.