RE: Confused Dot Com25 Mar 2021 20:31
The SP troubles are of course effected by any large persistent seller but as you say "why are we still not rising regardless with such good news and prospects?" (kinda what you asked).
Well I'm going to say this again and I'll explain more this time my opinion - it's bond yields rising through fear of the inevitable surge in inflation that's coming and institutional investors and economists are mostly agreed on this as far as I'm concerneand and so they also know that the Fed won't act to stop it for a while until the economies are back on track even at the short term cost of damaging equity markets overall. In the meantime these institutional investors and some PI's too are taking profits and shifting funds out of equities generally but especially the badly effected growth stocks (hello Eqtec and many other great growth stocks) and shifting them into safer bonds and into cyclicals and commodities too.
It's encouraging to see the yield rate come down from 1.75(ish) to 1.6% but the underlying problem is going to get worse unfortunately before it gets better so any rises are short lived.
This will only get better after the central banks have created enough liquidity to get the economies going again, then they will have to deal with the surging inflation they've created to achieve this and this will mean active and aggressive control of the bond yield rates. Then our sector will be back on track and for years : )
This process and the timing of it will be different for differing economies but we all know its the US that calls the shots here as the dollar is the world's currency in many ways still.
Of course the tax year does I'd think effect increased profit taking or shifting funds or delaying buying until in PI's cases they've space in isa's again as is the case for myself but it's tiny I'm arguing compared to the macro massive forces effecting our sector amongst others (hello gold and silver and tech etc).
So that's kinda what's been going on what's coming our way for a while.
But Look, with the growth and inherent increase in value coming Eqtecs way I'm not selling and we may be well on the road to high share price by summer, know one can really know not even DP with the issues going on I've tried here to highlight but by the end of the year I hope all this is already a long way back in our rear view mirror and we're well on the way to growth stock riches and I'm hedging none more so than Eqtec.
Please don't make me explain this again, it's only my opinion but it's also shared by many who are infinitely more knowledgeable than little old me.
I hope this makes sense to some and helps with the justified concerns I often see here and helps them not throw away a truly golden investment opportunity and let's face it this modern world needs Eqtec we just need to wait for more of it to realise this as we do, and they will.
I hope this has helped shed light a bit.
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