Have we seen the bottom of the stock market?

carpy

What are peoples thought on whether we've seen the low point already?
Are they going to drop further once the 1st quarter reports start coming out and we start getting more idea how long lockdown is going to continue for?
If further significant falls are coming how low do we think they'll fall to? I could see the FTSE100 dropping back down to 5000 again but I've seen some saying 4000!
Is it going to be a relatively quick recovery (say up to 2yrs) or a long prolonged one taking up to 10yrs or maybe even longer to reach the high levels we were at?

6022tivo

If we knew, we would all be very cash rich. 

keyboardworrier

Your guess is as good as mine! Nobody knows what will happen...

newatc

What 6022tivo says  though for what it is worth, not very much, I'm on the pessimistic side largely because we don't know the duration of the crisis.

Linton

You will have to wait and see.  I dont know. Getting answers from dozens of people who dont know either is not going to help.

More useful is the question that as the future is unknown how do you manage your investments.  But investors are always in that position.  So the answer to the question is to carry on as you have been doing previously unless the recent events have proven your strategy to be faulty.  If so it would make sense to change it.

Thrugelmir

After the initial panic. Markets have settled. Company fundamentals will again drive prices up and down. Markets are the result of thousands on individual transactions. The larger the capitalisation of a company the greater the influence on a market index. In troubled times better to focus on the underlying investments than the number that an index sits at. Nor forget about dividends or interest income. The reinvesting (compounding effect) of which materially changes the return over the longer term. 

Alexland

Our cat told me the answer but out of fairness to other market participants I am not letting it influence my investment decisions. My wife tells me the cat told her the opposite answer so maybe the cat is now running a hedge fund.

ColdIron

Alexland said:

Our cat told me the answer but out of fairness to other market participants I am not letting it influence my investment decisions. My wife tells me the cat told her the opposite answer so maybe the cat is now running a hedge fund.

Pfft

stuart746

Dead cat bounces (brief market rallies) are a feature of bear markets, in the 2008 crisis markets did not bottom out until the following March.. but as others have said, no one knows when the bottom will come

Tildaplum

Ollie the Octopus says 'maybe'

Thrugelmir

stuart746 said:

Dead cat bounces (brief market rallies) are a feature of bear markets, in the 2008 crisis markets did not bottom out until the following March.. but as others have said, no one knows when the bottom will come

Many companies were oversold in the 2008 crash. A very different scenario to today. Where the pain isn't primarily confined to financial and construction companies. Spread far wider and broader.