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Pokerchips rec post . Putin and Moscow are fossils and out of sync with the Western world, no more than Gangsters.
Their will be no getting back to normal after this war or the Pandemic I'm sorry to say, it's irreversable damage, I'm affraid, an awful lot of lves lost, but i get what your saying
I think Putin has watched too many James Bond movies and the idea of being a menacing megalomaniac has gone to his head
..unfortunately he is only as good as the numpties below him..... all those old generals are only there waiting for their pension...their heads have already switched off
The propaganda is wearing thin and the reality is shining through the nonsense
Everything in the world will get back to normal when the evil murdering CHILD KILLER Vladimir Putin is defeated in Ukraine and is either jailed of executed by the Russian people who are enslaved by this medieval tyrant.
https://www.standard.co.uk/news/world/children-killed-vladimir-putin-russia-war-ukraine-b998055.html
"The two companies will cooperate on research and development such as on Open Radio Access Network, as well as procurement, including of standard parts, which would reduce costs,"
https://uk.investing.com/news/stock-market-news/vodafone-shareholder-e-will-consider-joint-investments-2653171
Best Regards ValueS
@mickey that would be great I need to buy some more.
sale season
One of my best performers today, will just have to wait and see which direction this is going
Once it decides to drop it will keep going again
Look at the ftse think dow is going for 1000 down.
Here it goes down 700 today is my guess. Classic dotcom if not today tomorrow being Friday.
Think so FTSE is pre empting the fall
Looks like the yankee doddle dandy drop is starting
Anyway back to vod rant over. Reason I like this sector is that all the networks are slowly closing 3g calling. Massive majority of people will need to upgrade in the next 2 years. Sim only swaps dont work. Vod has I believe the best network only problem is majority of people go on price until they realise what they could have
Very very strange times, billions paid out in furlough. Government using inflation to get the money back from covid. Maybe individual tax codes would have been better but lets face it we can even renew passports. Sat at home getting paid and businesses paid for not operating has to be paid for. Don't get me wrong what was done had to be done but the way they are getting the money back is disgraceful and killing pensioners, the vunerable etc. Best they can come up with is windfall on energy, in the meantime they collect the vat on increasing prices
Have just bailed myself after 5 years from initial 1st buy. Have exited flat taking into account divis over the years. I feel I can re enter ex divi a lot lower. Personally I think only way central banks can curb inflation is with inflation if you get what I mean. Also I believe they all needed inflation to rectify all the QE we have had for years
Looks like it the usual claw its way back up then drop right back down again - lets hope America doesnt get clattered again at 2.30
It’s incredibly resilient
Doing much better than ftse100
Hopefully will stay that way
You're right Fleccy - telecom stocks don't tend to get hit anywhere near as hard as financials and basic resources in a recession, and if that's where we are heading then VOD probably will hold up better, but that doesn't mean it doesn't have further to fall.
It will be interesting to see what actually happens to prices in the telecoms sector if we do into recession. I wouldn't be surprised to see the ones with the deepest pockets drive down prices to obtain market share both organically and by acquisition by driving profits/valuations into the ground and picking up distressed competitors on the cheap.
Selling, holding and/or topping up are very personal decisions that need to be based on when you need your money and what risks you want to take. Always a risk that when you sell you don't buy back at a lower price, either because it doesn't go lower, or it does and you don't pull the trigger thinking it will go lower.
Making binary decisions like buy everything now or sell everything exposes you to quite a lot of risk, as does having too many eggs in one basket.
With a 5 year plus time horizon, being diversified and riding out the bumps has always had the highest chance of success.
"That can very quickly lead to a recession, which in itself is bad for company profits and share prices as gross revenues decline, but a recession with high inflation is even worse as that puts pressure on company margins so profits take a hit from both the top and bottom line."
"VOD could also face very similar problems. Yes they have something everyone 'needs' and they might be increasing existing customers contracts by CPI+3.9%, but in their forecasts they weren't predicting gross revenue to increase by anywhere near that amount."
Don't disagree with you about the risk of recession, but Telecom stocks are among the best recession proof sectors. As far as the UK Telecom price rises, all providers are increasing their prices by CPI+3.9%, but Openreach wholesale prices are regulated to CPI increase only, so the CP's using Openreach infrastructure should benefit by 3.9% above inflation. Consumers can only switch at the the end of their contracts, as the current price rises are written into contracts. Consumers may switch at the end of their contracts, to take advantage of new customer teaser offers, but that's the only risk since all providers are raising their prices.
I wonder about the new UK Altnets, since they're are building their networks from investment, with an uncertain customer takeup. The Altnets can try and undercut Openreach, on wholesale, but offers like Equinox make that difficult. CityFibre have taken OFCOM to court, to fight the decision allowing Openreach to offer the Equinox deal, with the Judgement pending.
https://www.catribunal.org.uk/cases/14263321-cityfibre-limited
It’s the great unknown. Personally not selling, but looking at bringing new cash in to buy up at lower prices. Whether this period goes on for 2 weeks or 2 years, nobody knows.
So i expect the best way to deal with it is to hold money back in cash until it appears to have bottomed out, it's always tempting to sell off stock, poss not a good thing
In summary, we are all doomed, temporarily.
Always painful to be in a market reset.
Fleccy - no he said 10% + so I’ll admit the use of the word hyperinflation wasn’t appropriate - my apologies but I was a bit narked last night.
If you look at the numbers, changes to the base rate don’t have as much impact as you think. Around a third of homes are owned outright, another third have very low mortgages and of the third left a substantial number these days are on fixed rates so it takes a while for increases in interest rates to filter through to reduce inflation - much longer than it did previously when we had double digit inflation.
What was very worrying about what he said is that we are heading into a period of pretty severe stagflation. Wage growth is forecast to be substantially below inflation and even though interest rates are rising, the differential between interest rates and inflation will be the largest it’s ever been in history. That means there is going to be a substantial cut in real incomes both for savers and workers. That means there’s less money to spend which in turn will mean that consumers have less money to spend. That can very quickly lead to a recession, which in itself is bad for company profits and share prices as gross revenues decline, but a recession with high inflation is even worse as that puts pressure on company margins so profits take a hit from both the top and bottom line.
All of that wasn’t being priced in a couple of weeks ago as everyone was thinking that company profits would be fine as companies would just pass on the cost increases to the consumer and maintain their margins, but that’s not feasible when real incomes aren’t keeping pace with inflation.
I think the penny finally started to drop yesterday which is why we are seeing such big falls.
It was probably the combination of the delayed reaction to Powell’s comments about the Fed won’t hesitate to increase rates past neutral. In plain English that means they are going to increases rates at a pace which makes a recession almost inevitable. The rally that followed those comments was market nonsense that was just setting us up for a bigger fall.
The final trigger were the results from Walmart and Target, both of which beat gross revenue estimates (revenue increases of 3-4%) but both were major misses on profitability as the increases in revenue weren't big enough to match the increases in costs. That's why I said the yanks were going to wet the bed, and when they finally digested all of that they have, and are dropping like a stone.
VOD could also face very similar problems. Yes they have something everyone 'needs' and they might be increasing existing customers contracts by CPI+3.9%, but in their forecasts they weren't predicting gross revenue to increase by anywhere near that amount. They know they'll end up with more churn, as when money is tight people shop around for the best deal, and the telecoms sector has been a notorious race to the bottom on pricing. Even if that doesn't happen, people will trim their exis
Don't think he used the words hyper inflation. He did use the word apocalyptic...
"The governor of the Bank of England said almost 2 weeks ago that we are facing hyper inflation we can’t do much about"
Compound, did the BOE governor actually use the word hyperinflation? Since, in my book, hyperinflation suggests out of control inflation where price rises occur on an almost daily basis. All I've heard is 10% inflation, which is high, but not out of control. As far as interest rates are concerned, the BOE doesn't need to raise UK interest rates as high as the US, as even small increases reduce disposable incomes for variable rate mortgage holders, which is a substantial percentage of UK householders; I think the BOE have only been raising in 0.25 increments, for that reason.