Black Monday

[bull....]

XJO continuing to look a little ominous. Now pretty much sitting on significant support at circa 7000 and the 200EMA.
A continued breakdown through here would see 6600-6700 in pretty quick order IMO.

im in your camp .. xjo to retest 6400 - 6500 area.
my thinking based on china relaxing covid rules meaning there economy becomes swamped with covid problems and growth slows dramatically ( not that we will ever know lol from official figure's)

[BlackPeter]

APPL PE ratio (2014) - 10 (when cash rate was 0%)
APPL PE ratio (2022) - 22

Would be carnage if the market thought even a PE of 10 is too high given the cash rate now.

Hmm - I guess who would invest in Apple anyway ?

Volkswagen has currently a forward PE of 4.3! - but then, who would invest in Volkswagen?
Mercedes Benz (the car company) is currently going for a forward PE of 5.4, and DTG (Daimler Trucks, incl. some military gear) for 9.3;

Now - this is cheap. How much cheaper do we think it will get?

I guess - sure, it may, but where is the borderline between caution and outrageous greed?

[SailorRob]

Hmm - I guess who would invest in Apple anyway ?

Volkswagen has currently a forward PE of 4.3! - but then, who would invest in Volkswagen?
Mercedes Benz (the car company) is currently going for a forward PE of 5.4, and DTG (Daimler Trucks, incl. some military gear) for 9.3;

Now - this is cheap. How much cheaper do we think it will get?

I guess - sure, it may, but where is the borderline between caution and outrageous greed?

No such thing as a forward PE. Check the cash flows of those autos over last decade against the earnings. Earnings are just accounting stories.

[SailorRob]

I was not allowed to ask questions mate !!! So I believed when I heard few fund managers saying we are big on cash and waiting to deploy them when soon markets will become messy ...hope u got it that it was on CNBC I was referring to ...

Where does said cash go when they buy?

[winner69]

ASX not off to a good start for 2023 …down 1.7% at one stage

[SailorRob]

ASX not off to a good start for 2023 …down 1.7% at one stage

Supermarket food prices are collapsing, awful start to the new year.

What next to fall, petrol prices?

The horror.

This is terrible.

[Gerald]

Yes I filled the freezer today with $4 whole chickens from Countdown. Not sure if just christmas overstocking or what?

However apparently the bond guys are the gurus and with NZ and US bonds approaching all time high yeilds again maybe they see something else.

[winner69]

economists and traders currently think Fed will cut in 2023

[alokdhir]

economists and traders currently think Fed will cut in 2023

That's based on their view that we will be in recession but that mayn't happen but inflation going much below FED rates may be a factor for that to happen ...still its a 50/50 call ...will also depend upon how high they go now ....if really to 5.25-5.50% then more chance ...

[bull....]

economists and traders currently think Fed will cut in 2023

they be wrong if they read fed minutes this morning ..... i had nothing better to do as weather gone to s...t