The election and money

schiff

The FTSE100 and FTSE250 closed up, though that was perhaps due to non-UK influences.

There has been a substantial market move towards a hung election; in betting terms a Conservative majority was 4/11 this morning, and currently 8/13 (Betfair).

For discussion of matters related.

Crabby

I hope you got a good lay price.

Ray_Singh-Blue

I'm normally a VWRL man but bought FTSE100 tracker on Tuesday. Planning to sell today if rises, cry into beer if falls.

NedS

Ray_Singh-Blue wrote: »

I'm normally a VWRL man but bought FTSE100 tracker on Tuesday. Planning to sell today if rises, cry into beer if falls.

The overnight rise in Stirling is going to act as a major drag on the FTSE100 today although China-US trade news may help. They may just cancel each other out. The middle tier FTSE250 and UK small caps should see a nice brexit bounce today.

bowlhead99

Bought a few thousand worth of Galliford Try, Barclays and Lloyds first thing. So far holding up!

worldtraveller

FTSE 250 up 4% this morning.

Username999

Hargreaves, not completing stock SELL LIMIT orders!
And not able to cancel them!!

dividendhero

With the slide in sterling since 2016, growth and exports should have surged - they haven't. In fact the trade deficit is worsening and is now one of the worst in the world. This morning the pound is continuing to slide and is down against all major currencys..

For me the message is clear..Avoid the UK as an investment, too much downside and next to no upside

bowlhead99

worldtraveller wrote: »

FTSE 250 up 4% this morning.

Yes there's a broad swathe of UK-focused companies up 4-6% among my individual holdings. A bit of a re-rating should be due especially in certain sectors as the threat of Corbyn recedes (e.g. HICL and INPP in the infrastructure sector both up 6%); and if government isn't scrabbling for commons votes to get its agenda through there will at least be progress made with Brexit and other stuff.

dividendhero wrote: »

. This morning the pound is continuing to slide and is down against all major currencys..

Come off it. The pound is only down 0.4 to 0.5% against the dollar this morning because yesterday as the result came out it posted it's biggest rally in three years, advancing much more than that half a percent - going from $1.305 to $1.345 between 6pm and midnight. It's up from about $1.28 to $1.34 over the month. It's hardly 'continuing its slide' when you can see it's up several percent over the week, month and year.

dividendhero wrote: »

For me the message is clear..Avoid the UK as an investment, too much downside and next to no upside

Whether one agrees with the Brexit deal or what that 'stuff' actually is, markets do like a majority government rather than an uneasy coalition or hung parliament, especially if the government is capitalist /low tax rather than socialist /high tax.

Linton

In my view the rise this morning is mainly because many people were holding off buying until the election results were known whereas there are always forced sellers. Once the backlog is cleared prices will fall again until the short term BREXIT uncertainty is over. And then we have the long term EU trade deal. After then who knows?

MarkCarnage

dividendhero wrote: »

With the slide in sterling since 2016, growth and exports should have surged - they haven't. In fact the trade deficit is worsening and is now one of the worst in the world. This morning the pound is continuing to slide and is down against all major currencys..

For me the message is clear..Avoid the UK as an investment, too much downside and next to no upside

A lot of truth in that. The UK has significant structural problems within its economy which mean that £ depreciation is a minor factor. Brexit won't solve these either, likely to make them worse if anything.

Still the moneylaunderers who bought prime London property will probably breathe a sigh of relief....