How will the Dow's drop today effect the market

[brettdale]

How will the Dow's drop today effect the market in New Zealand and Australia?

Any guesses what stocks will be effected?

On another board they said, mining stocks may drop, Why would mining companies stock price drop if the price of oil goes up?

[Nita]

How will the Dow's drop today effect the market in New Zealand and Australia?

Any guesses what stocks will be effected?

On another board they said, mining stocks may drop, Why would mining companies stock price drop if the price of oil goes up?Most resource stocks especially oil will go up and most other stocks go down

[AMR]

The large caps tend to track the dow more so than the small caps.

As long as we don't get 12 days of 200 point falls in a row or a catastrophic collaspse in the NZD we should be fine.

[Hoop]

I'm relaxed with the fall so far.
If the DOW breaks the 12800 support level then I will worry.

[duncan macgregor]

How will the Dow's drop today effect the market in New Zealand and Australia?

Any guesses what stocks will be effected?

On another board they said, mining stocks may drop, Why would mining companies stock price drop if the price of oil goes up? The APOLLO mining shares went up and down in the sixties in unison to the APOLLO space program. I think a rise and fall by about five pc by memory. What happens in some unrelated markets can have a deep effect on another. Oil is priced in USD a barrel their market, and their currency drops has a huge effect on mining companies returns. Sometimes its not obvious why markets move in unison, but it happens. This is good you can look over the fence before you make your mind up about what to do on your side of the fence. Macdunk

[Hoop]

I'm relaxed with the fall so far.
If the DOW breaks the 12800 support level then I will worry.
I'm worring now

[AMR]

Oh dear. A break below 12800.

[Belumat1]

I think
AIR NEW ZEALAND
will go down heavily

it's becoming a hard time for Airlines ......

[beacon]

Maybe in the short term Belumat - certainly Oil price, strikes, Pacific blue... But I'll be betting for the long term against you ... 77% owned by Govt, and monopoly on domestic routes. See TEL, AIA for Govt interference. Oil will be hurting Pacific Blue too. Can't fight the GOVT, so decided to join them ... Sold all TEL, been buying AIR.

[AMR]

Beacon, if you want a fright take a look at United Airlines (UAUA) and American airlines (AMR) in the states.

[beacon]

Mate, I've had my fair share of frights so far. I looked at them, and I looked at AIR and I decided for the reasons above that AIR it is going to be. At 113, it has the highest risk premium reflected in its PE. On Earnings and Yield, it is beating the bank. Maybe it'll go below $, but my fair price calculates at $1.70. Its Pr/NTA is the lowest amongst NZ top 20 stocks. I think its been beaten down too much already. I do not foresee NZD falling too much too soon. And if it does there Industry consolidation will escalate. TEL has more downside, even though a better Dividend Yield. I don't understand Oil like some punters, but I do know that the world will be a lot different before Oil reaches $300 a barrel... and at that point I'll be too broke to care anyway.

[peat]

so the dow went up 25 points last night?
not even a decent bounce huh.
USD/JPY went up but no correlation. fri night tonite hmmm
DOW is the first three letters of a word that is the opposite of up :rolleyes:

[Dr_Who]

I think
AIR NEW ZEALAND
will go down heavily

it's becoming a hard time for Airlines ......

I agree. Doesnt help with economic slow down and high oil prices.

Further more I see US car companies falling like flies like the Jap car industry in the 90s. There should some M & A in the car industry to keep them afloat.

[Dr_Who]

The US economy is in BIG DO DO. Slowing economy and high inflation. If the fed ups interest rate, it will totally destroy the economy, if it doesnt it will result in further drop in the dollar. The financial sector is still in deep poos with credit problems not yet solved. What a total mess! I wouldnt touch the US market with a bach pole.

Bernanke is starting to sound like our central bank, trying to talk up the dollar. So are the US gonna print more money and borrow to top up the dollar? LOL

[macduffy]

The US economy is in BIG DO DO. Slowing economy and high inflation. If the fed ups interest rate, it will totally destroy the economy, if it doesnt it will result in further drop in the dollar. The financial sector is still in deep poos with credit problems not yet solved. What a total mess! I wouldnt touch the US market with a bach pole.

Bernanke is starting to sound like our central bank, trying to talk up the dollar. So are the US gonna print more money and borrow to top up the dollar? LOL

So what's new?
And what are we going to do about it?
With an eye on the subject of this thread, " How did the Dow's drop today affect the (NZ) market?

Cheers
m

;)

[Yossarian]

I wouldnt touch the US market with a bach pole.


As opposed to a Brahms stick?

[malcolm]

DOW --had worst day fri 6th US TIME since 7th feb 07 down 394 points-- will send shudders through global markets monday our time-- don,t know why we follow the YANKS- only the fool hardy would follow them into battle:D:rolleyes::D;)

[bermuda]

DOW --had worst day fri 6th US TIME since 7th feb 07 down 394 points-- will send shudders through global markets monday our time-- don,t know why we follow the YANKS- only the fool hardy would follow them into battle:D:rolleyes::D;)

Malcolm,
Like you I saw this recession coming about 1 year ago .

I wondered what to do.
I knew our currency would go down and that investing in Aussie stocks could have a currency gain. And then I came across this beautiful CSG play in Queensland and just had to get in, even if it did mean selling my beloved NZO.

And so with an oil and CSG portfolio I wondered how they would make out when the DOW started getting crunched. I thought it would be ok but far out . I got smashed late last year in the subprime and I got smashed again in January/February. My 'failsafe' portfolio had failed to perform.!!

And then along came the BIGGEST advert campaign I could ever possibly pray for.

Enter BRITISH GAS.

All my dreams were answered. Suddenly, almost overnight , Australia
woke up to the huge value on their doorstop.

So to get to your point, yes, I am a bit nervous there may be a retraction in my CSG stocks but then I think, on the otherhand, there is some big grunt behind CSG and the price of oil just leaped about $15 in the last two days.

And then I think , why worry, with what's coming up .

But to anyone thinking of entering this CSG market , it has got a lot to go and if you do ( perhaps! ) get the opportunity to buy on the dips then get stuck in.

[Footsie]

bermuda

what CSG stocks do u hold

?

[bermuda]

bermuda

what CSG stocks do u hold

?

Hi Footsie,

BOW PES RPM VPE VPEO

Also hold NZO, PRC and TEX

Thinking of some SXP. Tuesday will be interesting but not too worried this time.