Summer doldrums and out of favour. 2/3 of my house builder profit has vanished like a fart in a fan factory. Builders churning out cash like there's no tomorrow but market value sour despite all this value.
Hello Share Pals: The old shares seem a bit soggy at present, to say the least. There is no appetite for risk, as they say.
Too much nastiness going on in the world. The Ukraine is nasty. Iraq is nasty. So is Syria, the Sudan and Nigeria.
All that unsettles the big traders. And so share prices tumble around.
There have been a few unsettling factors in the UK, too. Unemployment is dropping, but the new jobs are either very well paid (too few) or too lowly paid (too many).
House prices seem to have levelled off. England has already made a poor start in the World Cup, which always seems to knock share prices.
But all this is temporary. I do not worry about the effect of world aggression on shares. Yes, I do feel acute sympathy for the innocents caught up in it, but the effect on shares of warfare is usually to kick them upwards in the end.
Which may seem odd. But check back on all the big conflicts and you'll see that, after an initial blip or two, share prices rocket back and then beyond.
Nor do I worry about unemployment. That will fall even more as national growth improves, so will wages.
And house prices? Well, I think it's not a bad idea to invest in building firms. They've taken a knock with the Bank of England's governor warning about interest rates going up soon. But with a national house shortage – and the government desperately trying to encourage new building – I reckon that house builders are going to see a big upsurge.
What I'm trying to say, gang, is that the present lethargy over share-buying is caused by insubstantial reasoning and eventually value will win over gloomy sentiment, as it always does. And then shares will hit the sunshine trail again.
Which we've been saying quite robustly in the Punter's Return.
Malcolm Stacey has been writing about shares for more than 20 years. Share Prophets
Mr Bobs, Glad I am not alone. There is nothing wrong than knowing you got something 'wrong' short term and then having to say to the misses I got that wrong, I did the same with SBRY only to sell and watch the share price go above my buy price before dropping. Still I think overall this should be reasonably safe, ok so we are down a bit at the moment, but not because of anything the company is doing. I would expect this to recover just as quick as the drop once we have some better news in the world. Also I half expect some director buys etc. at these levels.
Reason 1: SP is below my initial target of 137 Reason 2: very oversold, stochs gaining momentum Reason 3: the ~29% drop from 13 May 184.6 seems overdone, softness in H1 data mirrored peers Reason 4: what goes down must come up! Whole industry is down on avg ~22.10% from 52wk high
I've decided to buy some at this great price on 1st July when l get my extra lSA allowance. I'll have my funds in place ready. Hopefully it will be on or around this price. As you say Puffy good profit to be made
The only way is up! Otherwise I am going to have to explain to the misses, that she was right and her bank savings account gives a better return than my investment choices. So if you could all buy you will save me hearing the dreaded "I told you so" Go on do it, do it for me ;-)
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