Black Monday

[Hoop]

Swiss National Bank has already been in .... My pick is Greece , Italy will be very nervous .....
so plenty of central bank action , however BOE would not be in the stock market like the Chinese ...

The Swiss Central Bank intervention today was to counter the sharp rise in their currency..A neutral country seen as a financial safe haven and not in the EU.. I guess an unwelcome flood of money arrived today...a problem which Greece wish it had..

[Hoop]

Hoop - interesting comment about this being a potential trigger for the downturn ... I guess, I see what you mean, but on the other hand - as long as the low interest rate environment stays can't I really see stocks dropping too much. Obviously - if interest rates go up or if earnings go down, things will change.

Always wanted to buy FPH for $3 and TIL for $1,50 ... Sorry guys, just dreaming ...

Yep..earning rates may get lowered...interest rates could go negative.. e.g possible recession in Europe?..I think Mother England is a big girl and will look after itself reasonable well, they say she might go into recession...but I think the EU may suffer also....a bit like a plane losing an engine..eh?
A CAPE of 25 on Wall St is not sustainable either-side of the inflation sweet spot (1%)..The EU and USA are the top two, equally as big economic powerhouses in the World (EU was until today) and are linked, so one could affect the other..e.g lower growth (earnings).

Always wanted to buy FPH for $3 and TIL for $1,50 ... Sorry guys, just dreaming ... Hang on Black P..I'll dust off my time machine..but I urge caution as it works about as well as my crystal ball

[Bjauck]

European markets have been interesting..FTSE100 is the least down. -4.9%..It seems Mr Market is currently assuming the economically weaker EU Countries are going to suffer more from the UK exit fallout than the UK itself
Greece currently -14% Italy -11.5% Spain -10.9% ..these numbers are serious stuff...destructive falls?

You have to factor in the fact that GBP has depreciated at least 6% against the Euro. The FTSE also has a high proportion of multinational companies.

[Bjauck]

Yep..earning rates may get lowered...interest rates could go negative.. e.g possible recession in Europe?..I think Mother England is a big girl and will look after itself reasonable well, they say she might go into recession...but I think the EU may suffer also....a bit like a plane losing an engine..eh?...

Maybe like losing an engine that was mounted at slightly the wrong angle. Best case scenario is that EU functions better without an unenthusiastic member and that the UK also thrives at arms length to the EU. Unfortunately the chance of that best case I put at 5:1

[Hoop]

You have to factor in the fact that GBP has depreciated at least 6% against the Euro. The FTSE also has a high proportion of multinational companies.

Yes very true..Thxs Bjauck I overlooked that..

Maybe like losing an engine that was mounted at slightly the wrong angle. Best case scenario is that EU functions better without an unenthusiastic member and that the UK also thrives at arms length to the EU. Unfortunately the chance of that best case I put at 5:1
There are a lot of very intelligent people which I have no doubt have had lots of time to outline Britain's contingency plan going forward if this unlikely outcome turned into reality..

[bull....]

still going only another 11hrs to go lol but im thinking we will only see an adjustment to certain pricing as nothing has really changed yet? uk still in eu, they have there own currency guess the wild card is the eu reaction

[Bobdn]

I wont be watching the markets next week as I'm sure it will be more than just a black monday, need to wait for all the cliff jumpers to do their business and float off down the river,no point in inflicting pain on yourself by watching the carnage. I'm looking forward to a couple of XOS divvy payments coming up courtesy of Air and Spark and I'm sure Rymans building program will continue and Trilogy products will keep flying of the shelves etc etc Probably have to go fishing to cope with the marketitis withdrawal symptoms(No internet connection at spot X)

Yes good idea, it's going to be nasty for a while I guess. I'm not looking forward to updating my net worth at the end of this month.

[janner]

Some good discussions on here.

https://www.rt.com/on-air/

[BlackCross]

Some short to medium term economic problems ahead for the UK I feel. The EU are going to be as spiteful as they can get away with IMO.

[couta1]

Comments from a Chief US market strategist this morning hit the nail on the head for me. "What is occurring is traders are rushing for the exits and can't get out fast enough but as investors we must not panic, keeping in mind that the process of the UK exiting the EU will occur over a period of 2 years not weeks or months" Added to that is the fact that interest rates are going to remain lower for longer now, so once the dust settles where do you think people are going to put their money to get a decent return?