32 minutes ago, retarius said:

Some interesting views on here. The rise in the stock market is confusing some people. Entities and individuals buy stocks in the belief that either their dividends look good and/or the stock price will rise in the future enabling them to sell later at a profit. Generally stock price rises with increased company profits other things being equal. The rise in the stock market means that a lot of people are seeing a buying opportunity here and they believe that stocks plus dividends will be worth more in the future than they are now. However we only see one side of the ledger. There maybe be many people who are shorting the market expecting it to drop. Given the rises it seems that the bulls way outnumber the beast right now. 

No one in the whole wide world knows where stocks will be tomorrow, next week, m=next month or next year. It is unknowable and anyone claiming to know is a liar or an idiot.

 

A lot of words but missing the point by a thousand miles!

 

The FTSE is rising because a majority of stocks in the FTSE 250 are reliant on overseas earnings, a weaker Pound amplifies those earnings hence the index rises as the value of the Pound falls. This is not a sign of market strength as much as it is of country currency weakness, overseas buyers are buying into the FTSE because their currency is stronger and the Pound is weaker - this will reverse at some point.

1 hour ago, chiang mai said:

 

A lot of words but missing the point by a thousand miles!

 

The FTSE is rising because a majority of stocks in the FTSE 250 are reliant on overseas earnings, a weaker Pound amplifies those earnings hence the index rises as the value of the Pound falls. This is not a sign of market strength as much as it is of country currency weakness, overseas buyers are buying into the FTSE because their currency is stronger and the Pound is weaker - this will reverse at some point.

 

Absolutely spot on analysis.

 

However, it does give the Daily Mail/Express opportunity to make headlines such as "Brexit Britain is Booming as shares  rise".  Load of nonsense, but that merely reflects the shallow level of debate by some of the popular press. All this stuff about a weak pound being good for Britain - even the government knows that paying off our international debts is becoming harder and increasingly expensive. But, what the hell. It won't be until later this year that prices in stores etc will rise quite significantly for imported goods.

23 hours ago, daveAustin said:

Get ready for 40 baht, chaps, when May (closet Brexiter) gives the EU the finger proper. 

 

 

Back where it was 55 years ago! Problem is, life was a great deal cheaper then.

http://www.bbc.com/news/science-environment-38610862

 

'Down to $1.10 on a 'diamond hard' Brexit?'

Five years from now all the pro European clan will be thankful that the UK got into the lifeboat early and left the rapidly sinking Euroship.

Edited January 17, 20179 yr by DavetheGreek
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