The markets are Chaos...and Order

[basilio]

Lot of flashing lights around stock markets and economic news.
Dow drops 800 points, marking worst day for stock market this year
https://abcnews.go.com/US/dow-drops-600-points-roller-coaster-markets-continues/story?id=64969484

 

[SirRumpole]

Is the "inverted yield curve" about to strike again ?

It's preceeded the last 7 recessions.

https://www.abc.net.au/news/2019-08-15/what-is-an-inverted-yield-and-should-we-worry/11415984

 

[fedexpress]

Is the "inverted yield curve" about to strike again ?

It's preceeded the last 7 recessions.

https://www.abc.net.au/news/2019-08-15/what-is-an-inverted-yield-and-should-we-worry/11415984

Yes, a very scary notion indeed.

Based on all the information available, would it be prudent to sell now and wait for the bargains to come if there were another global recession 2020? I mean if we were to go back in time and wait for the 2008 GFC in 2007, you'd sell down just to buy back once crap hits the fan.

I'm not sure what will happen this time around as the EU, USA, China are all cooked now. I also don't know what will make us bounce back after 10 years of QE with record debt. What would drive growth now that China is on the ropes as well?

 

[snilson]

there are 3 phases: lateral, trend and news!

 

[tinhat]

there are 3 phases: lateral, trend and news!

Hi sn, you say there are three phases. Could you please give examples of each? Very interested.

 

[basilio]

US Futures market ahead of opening tonight looking like xhit.

 

[Dona Ferentes]

US Futures market ahead of opening tonight looking like xhit.

Limit down , I believe, is the term

 

[SirRumpole]

I reckon the ASX needs to take a day off and let people settle down.

This looks a lot like panic selling to me.

The market was over-valued, but enough is enough.

 

[wayneL]

I reckon the ASX needs to take a day off and let people settle down.

This looks a lot like panic selling to me.

The market was over-valued, but enough is enough.

Well, it's still nowhere near value, really.

Overgeared might be a a problem that needs the market to be open for too.

 

[SirRumpole]

It seems to have recovered somewhat.

 

[sptrawler]

I reckon the ASX needs to take a day off and let people settle down.

This looks a lot like panic selling to me.

The market was over-valued, but enough is enough.

Oh well, I've started nibbling away today.

 

[Garpal Gumnut]

I do like observing panic buying and selling.

A brides nightie.

gg

 

[qldfrog]

I started playing the vulture today looking at bargain...even after that fall, the PE are incredibly high..no thanks and this is based on past profit with no economic cost of the current crisis

 

[sptrawler]

I started playing the vulture today looking at bargain...even after that fall, the PE are incredibly high..no thanks and this is based on past profit with no economic cost of the current crisis

From my perspective, the current crash is panic inspired, if the virus goes 'through' I don't see it leaving any lasting problems other than the requirement for more hospitals in the short to medium term.
Just my opinion.

 

[qldfrog]

From my perspective, the current crash is panic inspired, if the virus goes 'through' I don't see it leaving any lasting problems other than the requirement for more hospitals in the short to medium term.
Just my opinion.

do not underestimate the selling of the assets of thousands of extra "retired" retired citizens
Is a funeral a GDP boost? Probably..so we should be OK .....for the one left

 

[Ferret]

Well, we were due some sort of bounce. Those buying today are braver than me!

 

[sptrawler]

Well, we were due some sort of bounce. Those buying today are braver than me!

Do be afraid, climb on the cat.

 

[basilio]

It will be interesting to see if the investors who bought in the first half hour when SP were well down take their profits by days end. From what I can see the banks all dropped like a stone and have since recovered. But for how long ?

The current yields on bank shares and even BHP are extraordinary ! But I don't think anyone believes they can be held in the current circumstances.

 

[wayneL]

From my perspective, the current crash is panic inspired, if the virus goes 'through' I don't see it leaving any lasting problems other than the requirement for more hospitals in the short to medium term.
Just my opinion.

The question I have with regards to CV and the current "crash", is, is crash due to CV, or is CV simply the catalyst for what was about to happen anyway?

There is a body of opinion that the "everything bubble" was about to burst anyway,a several hedge funds have been making bets along those lines over the last few months.

I would generally fall into that line of thinking though I have learnt to not disregard the ability for central banks and governments to kick the can along the road.

I have no doubt whatsoever that the world economy will absolutely blow the f*** up at some stage, the only think which I have no idea about is when.

Is this it? Is this finally the endgame? I really have no idea. But what I am beginning to see is severe curtailment on the financial liberties of we plebeians.

To me that serves as an omen.

 

[basilio]

One could certainly say the markets had been blown skyhigh by relentless cheap money and the bigger bunny syndrome.

It could definitely been looking for a fall. CV has just kicked the chair away