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Realistbear

Times: Recent Bounce In Assets Is A Dead Cat Bounce

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http://business.timesonline.co.uk/article/...2226206,00.html

The Times June 15, 2006

Stop celebrating. The markets are not rallying. This is a dead cat bounce
Anatole Kaletsky
The likelihood that the plunge in assets coud really be over must surely be very small
IS THIS AS BAD as it gets? In the month since I last devoted this page to the state of the world economy, the retreat in shares and other assets which was then just beginning, has turned into a full-scale rout.
Anything is possible in financial markets, but the probability that the plunge in asset prices that began just a month ago could really be over after such a short time — and with so little damage being done to personal fortunes and financial institutions — must surely be very small. Much more likely is that any recovery that may or may not develop in the next day or two will turn out to be a “dead cat bounce” — in market parlance a brief and illusory rebound, whose main effect is to lure over-eager investors back into the market and then quickly deprive them of their wealth.

Houses are assets that are sensitive to IR. The recent "bounce" that the VIs are claiming has occured is a dead cat bounce which is a good selling opportunity.

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Not if you own shares in ABP! :lol::lol::lol:

"Another extraordinary day for shareholders in the once-unexciting operator of bulk cargo ports started with the consortium led by Goldman Sachs, the US investment bank, announcing it was raising its 810p offer, made only 24 hours before, to 840p, valuing ABP at £2.58bn"

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Not if you own shares in ABP! :lol::lol::lol:

"Another extraordinary day for shareholders in the once-unexciting operator of bulk cargo ports started with the consortium led by Goldman Sachs, the US investment bank, announcing it was raising its 810p offer, made only 24 hours before, to 840p, valuing ABP at £2.58bn"

If the pound overvalues exports drop--but that's just one side of the equation.

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that buffoon Kaletsky is still clueless about the world economy.

He still fails to realise that excess liquidity floating around the world causes speculative bubbles everywhere, as one pops another appears, and the volatility will continue until that liquidity is drained away.

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  • 302 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%



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