Jump to content
House Price Crash Forum
Sign in to follow this  
BelfastVI

Dow Jones Above 12,000

Recommended Posts

Know even less about this than I know about the housing market but the growth of this has been nothing short of astonishing. It is growing faster than it did leading up to the crash. Its almost growing as fast as it fell. There is little talk about this.

When it was in free fall in Feb 2009 few expected it to stop and even level out never mind recover the way it has. In fact, they say one of the things that turned it was the sudden growth in the sale of tinfoil and pasta.

It doesn't appear to have any effect on the housing market, although if it crashes again it no doubt will.

Is this where all the banks money is going?

Share this post


Link to post
Share on other sites

Know even less about this than I know about the housing market but the growth of this has been nothing short of astonishing. It is growing faster than it did leading up to the crash. Its almost growing as fast as it fell. There is little talk about this.

When it was in free fall in Feb 2009 few expected it to stop and even level out never mind recover the way it has. In fact, they say one of the things that turned it was the sudden growth in the sale of tinfoil and pasta.

It doesn't appear to have any effect on the housing market, although if it crashes again it no doubt will.

Is this where all the banks money is going?

Partly, but it's also because many US (and UK) businesses are actually doing pretty well.

They're cutting costs and dumping staff faster than sales fall, but many are also global businesses and their customers in China, Germany, Brazil, India etc are on a spending spree.

Just don't expect these tidings of joy to flow through into US or UK employment figures or pay increases. Pfizer has just shut their R&D facility in Kent to cut costs, but Glaxo has built a huge new research facility to develop drugs for Alzheimers. One small issue though. Glaxo, Britain's biggest pharmaceutical giant, has built this world beating R&D facility in Shanghai. British company using cheap Chinese brainpower and currying favour with the gatekeepers for a market that really matters.

Expect a lot more good news for the DOW and for the FTSE over the next couple of years. I see the FTSE going from under 6000 in January to over 7000 by December, and probably topping 8000 next year before this leg of the equity bull market runs out of steam.

Share this post


Link to post
Share on other sites

Partly, but it's also because many US (and UK) businesses are actually doing pretty well.

They're cutting costs and dumping staff faster than sales fall, but many are also global businesses and their customers in China, Germany, Brazil, India etc are on a spending spree.

Just don't expect these tidings of joy to flow through into US or UK employment figures or pay increases. Pfizer has just shut their R&D facility in Kent to cut costs, but Glaxo has built a huge new research facility to develop drugs for Alzheimers. One small issue though. Glaxo, Britain's biggest pharmaceutical giant, has built this world beating R&D facility in Shanghai. British company using cheap Chinese brainpower and currying favour with the gatekeepers for a market that really matters.

Expect a lot more good news for the DOW and for the FTSE over the next couple of years. I see the FTSE going from under 6000 in January to over 7000 by December, and probably topping 8000 next year before this leg of the equity bull market runs out of steam.

interesting how china , Brazils and Indias (the supposed boom markets) stock markets are lagging well below their November highs aqnd simply not confirming this optimism considering their consumers are on a wild spending spree

Me i love divergences. but then i see the FTSE going from 6000 in January to below 3000 before the end of next year,

There are clearly two sides to every market, thats what makes it interesting

Edited by Tamara De Lempicka

Share this post


Link to post
Share on other sites

The Federal Reserve's 'Permanent Open Market Operations' might have something to do with it. In a nutshell they use their 'reserves' (Benron dabbles quickly with keyboard) to buy large chunks of a few select stocks, I believe Apple and Netflix are favourites, which boosts the price of these well known stocks, helping to improve market sentiment and drag mugs into the market who then bid up other stocks to similar levels.

I think it's called fraud. :lol:

Edited by General Congreve

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 285 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.