stockmarkets -are we nearing the bottom or is there further to go ??

Malthusian

"Dr. Doom" Roubani, Schiff and several other prominent doom mongers predicted the collapse that arrived in 2007.

Dr Doom and co predict a collapse every single year. Around one year in five they are proved right.

stringer_bell

I'm drip feeding money into a general investment account at the moment and will continue to do so for the foreseeable future. I have maxed out my S&S ISA this year, maxed out all current accounts etc

This is kick up the bum I need to finally do something with my cash holdings

Glen_Clark

So whats causing the latest fall?
Cutting interest rates used to boost share prices. Now cutting interest rates seems to be reducing share prices.
Is this because cutting interest rates looks like desperation?
Or is it just the current sentiment?
In 2000 at the height of the dot com lunacy I recall a trader saying 'even a profit warning causes a rise in share prices these days'
Has sentiment reached the other extreme now, so any news causes a fall in share prices?

Glen_Clark

stringer_bell wrote: »

I'm drip feeding money into a general investment account at the moment and will continue to do so for the foreseeable future. I have maxed out my S&S ISA this year, maxed out all current accounts etc

This is kick up the bum I need to finally do something with my cash holdings

Sounds like you are doing the right thing as long as you are putting it in a diversified low charging fund.

stringer_bell

Glen_Clark wrote: »

Sounds like you are doing the right thing as long as you are putting it in a diversified low charging fund.

That is my plan, I have a thread I just bumped

mystic_trev

The Chinese markets have been shut all week, for the New Year celebrations. It'll be interesting to see what happens on Monday.

Kendall80

mystic_trev wrote: »

The Chinese markets have been shut all week, for the New Year celebrations. It'll be interesting to see what happens on Monday.

They'll most likely drop significantly barring no global bounce before the weekend - playing catchup to the other regional indices. Contagion could then spread back and fore.

Shmo

Heard a bunch of different theories mostly involving concerns over emerging market debt caused by low commodity prices, hence the banks getting hit so hard.

Personally I think it's because we had a crash in 2000, another one in 2008 and now it's 8 years on again in 2016 and some people are anticipating another one, so they short equities on the basis that they'll make more money that way over being long. More of a self-fulfilling prophecy as opposed to actual panic selling because the world is caving in.

Just my ill-informed opinion.

Thrugelmir

Glen_Clark wrote: »

So whats causing the latest fall?

Out in the global world there's considerable pain. A friend works in Doha and the oil price fall is having very serious ramifications. The world is financially interconnected. A lever pulled somewhere will impact somewhere else that's totally uncorrelated.

JohnRo

The concerns about the banks and levels of debt are well founded, they've got form and appear to be up to the same old tricks. Sub prime energy debt, the so called oil price "tax cut" feeding a boom in sub prime auto loans, it's looking like the same old story, playing out the same old way.
Now in the rear view mirror, it's becoming increasingly obvious that all the mountains QE and punitive ZIRP experimentation have achieved is to keep insolvent casino banks on life support, allowed them to grow even bigger, fuel malinvestment, financial asset speculation and inevitable market distortions. In the process transferring wealth from savers to borrowers and speculators.
The hackneyed cliche about seeing who is swimming naked when the tide goes out seems apt where the energy price and debt fuelled US energy boom is concerned.