Black Monday

[James108]

Or are those companies trading below value because they are dogs with poor future prospects? Just because something is cheap doesnt make it a good investment either.

If they were dogs they likely wouldn't be "below value", unless they were trading rock bottom, eg. below net cash.

In response to your previous post, buffet has been buying stocks in this market. And yes he does "buy low and sell high", aka buying undervalued stocks and selling them when they are overvalued. I would also say that early to mid 19th century style value, where companies sometimes trade below their working capital, may not return for a long time. In this case holding cash and waiting for a return to these levels of value may be a poor option, but you can still use the principles espoused by graham/buffet to invest. One of the foremost principles is to compare value with like companies.

People are very misguided if they think buying anything at any price and holding forever is value investing. I dont claim to be any good at value investing, I have made a few poor purchases by not considering important factors and I have also made a few good ones. I am learning though and my analysis is becoming higher quality and more in depth, extra study in accounting/finance would likely help.

[PSE]

Most people think it means buying in a little dip and pretending you haven't lost money. Bring on the crash

[JBmurc]

Saw NCM took another SP hit today, doesn't seem to be getting the same traction as some of the other goldies JB. Any reason for that you know of? Need to update my research.

Not sure exactly ...pulled down with the rest of the majors sentiment driven ... I see Citigroup, Goldman Sachs, Morgan Stanley have been net buyers of late ....

From One year ago AUD gold has increased 15.5% yet NCM SP wise hasn't moved much ...

Great Buy IMHO

[sb9]

Looks like the Asian markets are bouncing back and US futures up about 1%.

[Daytr]

It is looking reasonable value especially with that debt reduction.
I wouldn't say its a screaming buy, but its looking better that it did that's for sure.

Not sure exactly ...pulled down with the rest of the majors sentiment driven ... I see Citigroup, Goldman Sachs, Morgan Stanley have been net buyers of late ....

From One year ago AUD gold has increased 15.5% yet NCM SP wise hasn't moved much ...

Great Buy IMHO

[JBmurc]

Yes maybe not a great BUY as they have their DEBT in USD ....but a long term HOLD BUY on a sentimental change on a higher AUD GOLD price ...1700oz to be passed next year IMHO

[Bobcat.]

It's going to get a lot worse before it gets better...

http://www.wnd.com/2015/09/statistic...cial-collapse/

[arc]

London: Thoughts on China market correction.. 50% decline possible, back to year 2005.

http://www.londonstockexchange.com/e...?id=3000415558

Still some negativity around but todays European mkt open looks better

[skid]

I know this i8s not groundbreaking,but I have spoken to several Chinese on my travels in southeast Asia--One said alot of his friends have lost more than 50% on the sharemarket---Another ,a school teacher mentioned alot are losing their jobs---There are still heaps traveling around(the tourist landscape has changed considerably in recent years towards Chinese) but it will be interesting to see how things look in a years time when this works its way through(if it keeps up)

[arc]

An interesting development: Looks like news services have minimised share mkt problems and are now talking about other matters.

Do we take this as a sign that they have simply had enough and are bored with the topic
Do we see an attitude-shift in both mkts and news and perhaps a halt (temporary??) in declines
Have multiple countries now exited the Chinese mkt and so are feeling "safer" with domestic or anything not asian

Both Apple and Microsoft have risen this morning..

I am still mining the data but it looks more and more like this is a narrowly focused stock market event and not so much an actual worldwide sudden downturn in macro economics, Dont get me wrong, There is economic uncertainty but it has not fundamentally changed that much in the last month. I am wondering if this latest stock market event will "eventually" spill over to economic/industrial arenas and then provide acceleration to the global downturn. If so then we will have a full blown Bear in a few weeks time, If not then this may be just a speed bump and not the Titanic that everyone thinks it is.

I am still quietly amazed by the fragility of the market.
But then again as we have found out... there is non market driven actions motivating correction-events. The hard part is ascertaining the primary drivers and objectives