Posted on 03/04/2007 2:35:23 PM PST by shrinkermd
INVESTORS will be scrambling for safety this morning with another fall on the local share market expected after Wall Street ended a horror week with a 120 point drop on Friday. Equities are struggling for traction amid the global sell-down in stocks triggered by last Tuesday's plunge on the Shenzhen and Shanghai markets, pushing investors away from volatile investments and into cash and bonds. The March S&P/ASX 200 futures contracts is pointing to a 1 per cent fall on the local share index, and markets are expected to be volatile from the opening.
The equity market volatility comes amid a big week for economic data and the Reserve Bank of Australia's second monthly board meeting for the year, which is expected to leave interest rates on hold.
In New York on Friday the Dow Jones closed down 120 points on Friday, capping its worst week in four years, amid problems in the sub-prime lending market and concerns about the economic growth outlook.
Goldman Sachs JB Were chairman Terry Campbell told Sky News Sunday Business the bourse could still decline by 5 per cent before "this correction is over".
"So while I'm very optimistic in the medium to longer term I think share prices could come back a bit further," he said.
(Excerpt) Read more at theaustralian.news.com.au ...
Hey, that just means that those you invest steadily can buy at lower prices.
Or, if you trade hedge-fund style equities derivatives, you can be up 32.78% for Feb. I had a good week.
Almost time to start cost averaging down.
Good resistance at 8000.
Nikkei futures pointed to a steep decline in the market. Contracts expiring in March <2NKc1> finished at 16,865 in Chicago, down 295 points from the close in Osaka .
"Today is going to hurt," said Shinji Igarashi, equity manager at the sales department of Chuo Securities
In the first five minutes of trading the Nikkei 250 is down 270 points or 1.58%. It is going to be a long day in Japan since the Yen also broke 116 to the dollar--that is their currency is appreciating against our dollars; hence, their trade advantages are diminishing.
16947.28 270.65 1.57% N225.
Good resistance at 8000? Did you mean good support?
8:30 est the Nikkei 225 futures now down 2%
Expect strength in US treasuries tomorrow and more margin calls qand mutual fund outflows
Just a good chance to shake the tree.
So, buy on the dips, or catch a falling knife?
Please say more about how you trade.
If you will, say something about the tools you use to find & monitor trades.
yeah - what he say.
Farlander, Please say something, if you would, about the tools you use to find and monitor trades.
Could we be reaching a point in time where we see a "demographic decline?"
That is, baby boomers in retirement, seeking to safely capture their gains of the past few years and secure income-bearing instruments, bring about a bear market through their selling thinking "I have to be first in line to sell so I'm not last?"
I don't believe that there is enough wealth in the hands of the under 50 set to buy stocks at these levels if people over 50 start selling in earnest.
As one of the first baby boomers, I am 90% cash and 10% energy and gold stocks. Protect the principal at all costs. Will buy in if the market drops 10 or 15 %.
Huh? Friday's volume was way above the 50 day moving average for all three major indexes. If you meant Friday's volume was slightly lower than Thursday and Wednesday, well sure.
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