Is the stock market over heating?

DunPin

A_Flock_Of_Sheep wrote: »

I know! I cant believe what a silly un-smart investor I really was when I started out. Listening to noise, reading articles of gloom etc etc etc.

And you think you have changed and improved? your posts speak very differently.

Thrugelmir

A_Flock_Of_Sheep wrote: »

"Investors" (allegedly that's what they are) sell up before the US announces unemployment figures. As a result pull down the markets for people. US announces OK job figures and then these so called "investors" jump back on the bandwaggon again - which I assume is why the FTSE has just taken a leg up. How on earth is this Smarter Investing? Have they not read Tim Hale's book?

You need to understand that the stock exchanges consist of 1,000's companies whose price goes up or down, or even remains unchanged, every day. The indices merely reflect the net weighted change of whatever their constituents are at that point in time.

Take a course in reading and understanding company accounts. That's where the art of investing really lies.

bowlhead99

A_Flock_Of_Sheep wrote: »

I know! I cant believe what a silly un-smart investor I really was when I started out. Listening to noise, reading articles of gloom etc etc etc.

And now over the past two months you've graduated to creating your own "articles of gloom" all over this board, and contributing to the noise yourself with commentary about your nervousness and every micro movement, announcement or headline.

Seriously, look back at every one of your posts in the last two to three weeks, and tell us what percentage of them you come across as a level headed savvy investor with your feet firmly rooted on the ground.

When you were brand new, it was pretty understandable you needed some pointers. And to be honest we're always still learning from sharing ideas with others, so that's fine.

But now if you're going to claim that the "old you" was a naive fool who was distracted by noise, short term returns, and gloom-mongering headlines, perhaps the "new ewe" could stop reacting to those things and posting about them to draw in others into the trap... :cool:

Glen_Clark

gadgetmind wrote: »

Now we see references to the last 12/13 years, and both inflation and dividends being conveniently ignored,

and interest being conveniently ignored?
(Worth sod all at the moment I know. But there have been, and may be again, times when interest outstrips dividends.)

cepheus

Interesting article herein the New Yorker, published a few weeks ago though. A version also appeared in the FT

BOOM OR BUBBLE?

With the stock market setting new highs on a nearly daily basis, even as the real economy just slogs along, there seems to be one question on everyone’s mind: are we in the middle of yet another market bubble? ......

Smithers & Company, a London market-research firm, says that, according to a number of market indicators, stocks are, by historical standards, forty to fifty per cent overvalued..........

the argument for a stock-market bubble is flawed: when it comes to the role that corporations play in the U.S. economy, the present looks very different from the past...

The underlying issue is that in recent decades there’s been a shift in the U.S. economy: it’s become far more congenial to businesses and investors......

For investors, that’s obviously good news: there’s nothing wrong with profits, and the rebound of the stock market has helped restore many Americans’ battered finances. Still, it’s unsettling that companies and investors are doing so well while the economy as a whole is stuck in the mud.

StevieJ

Stocks and 10 years gilts taking a pasting today, don't these usually move in opposite directions?

Glen_Clark

StevieJ wrote: »

Stocks and 10 years gilts taking a pasting today, don't these usually move in opposite directions?

These are not usual times - QE money printing has changed all the rules.
Anything that suggests a relaxation in money printing seems to cause a fall in the price of both stocks and bonds.

sabretoothtigger

They are both subject to the popularity of the country they trade in.
If money goes back to Japan then it can drain everything else, Yen index is 2% stronger. Their crazy antics are creating waves here

grizzly1911

Glen_Clark wrote: »

These are not usual times - QE money printing has changed all the rules.
Anything that suggests a relaxation in money printing seems to cause a fall in the price of both stocks and bonds.

I still don't see how they can withdraw it.

A_Flock_Of_Sheep

It all looks a bit red today. What's going on? Who is threatening what today? I have been ignoring things for several days. Is it all on the turn down?

Don't tell me it gotta be eith QE removal, Chinese mines, Chinese slow down or America saying something or the euro zone or a combination of any of those.


Hello grizzly