The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
Isn’t it amazing...
Tesla is up 20% in two days on the news they can’t pay rent.
Boeing shut production last week and rallied immediately after making the announcement.
Market sentiment
https://twitter.com/masasoncap/status/1249692842957721605?s=21
“Today’s lesson - stock markets operate in a different time zones to the economy. (as in weeks & months)”
Toffee, you are confusing chart reading with stock market.
Economy is the base of stock market. Stock market trades future macro & micro-economy. Have you ever wondered why companies post outlook and guidance for the year ahead?
Doubt if you ever been a trader, you are more like one of those Nigerian princess trying hard to give away their imaginary wealth for free!
BUT what you do is incredibly hard, you research shares to trade, coming up with a trade plans, making a lot of money, spamming BBs, while your head stuck in every individual’s backside and bragging how great you are!
“I predicted BT would get left behind when the market recovered”
Toffee,
Do you really believe market has recovered or is on the path to recovery? Most of the country is not working, supply chain is in dire situation, consumer demand is collapsing and just because the market has gone up few pips, you think that you made a credible prediction. What a charlatan or deluded fool you are.
Look, indices and oil price have perked up but that has little to do with supply and demand in an economic upturn. Also such generous stimulus packages on offer complemented with unlimited corporate bond purchase plan hints somewhere there might be a hedge fund with derivatives on the wrong side of a trade and history suggests often the bet is too big to be covered. The domino starts once a failed business would be allowed to fail.
Back to BT, all I know they are not immune to the economic impact of lockdown but as far as my research goes the damage seem small and the probability of BT’s failure is quite low. In the current condition, this is enough for me to invest in BT, given that they are essential for the country.
PS: Actually cooking is one my hobbies and I do wear apron. Now crawl back under your rock.
“Every time you predict something the exact opposite happens”
Night that's a complement, Toff never predicted anything. She only states the obvious from the events that already happened. Fair enough she just posted that BT will cut divi to 5p….. ,which she shamelessly stole this from Barclay’s broker note without referring to the source. Nothing original or intelligent.
Bear in mind, we already got 4.65p interim divi for this year. The board stated in 2018, they will maintain 15.4p until 2020 and have not changed their policy yet but it is subject to revise from 2021. We are in exceptional situation, many companies cancelled dividend or payment after even going ex-div and did not face usual harsh punishment. So anything could happen. However, the dumb part is, her comment is against a company that has been least affected by this crisis and has much higher chances of paying dividend than many on FTSE.
She is not alone, 39 BT staff been assaulted or physically attacked by this kind of morons.
https://www.dailymail.co.uk/money/comment/article-8211113/BT-BOSS-stop-mindless-idiots-truly-believe-5G-Covid-19-linked.html
BUT ... net debt down 8.4%, revenue up 1.3%, divi up 58% and most important point is, TSCO is a viable business in current environment.
Sounds like investors cheering up losing income for a foreseeable time.
Unfortunately, there are higher probabilities that oil goes down than up in the near future unless something extraordinary happens. I guess one of the reasons oil companies share are holding up is for a decent dividend payments. Bear in mind, many FTSE companies cancelled divi recently , some even after going ex-div., i.e. good opportunity for company to cancel dividend now and be forgiven. RDSB has not cancelled divi in the last 20 odd years or more and they are cash rich. However, we are in an exceptional situation and the risk is quite high this time. Also, companies want to use government grants and loans should ditch the dividend.
“ Just remember Moneygecho that people will be losing their jobs, just so you can get a desired entry price.”
How RDSB share price causes people losing jobs? Low oil prices could lead to lay offs in oil industry. Oil is down ~ 4% and has not gone up yet today but RDSB gone up nearly 5% from opening price, what is that telling us?
I guess for a short period there will be no safe stock. When it calms down then as you said telecom and game including spreadbetting companies would be safe. I also think banks would do well this time and will benefit most from very low interest rate.
Two emergency rate cut in such short period, translates things are very bad. when Fed panic market panics. Lots of liquidity from Fed signals Corporate bond market is at the risk of going to implode and financial institutions are on the brink of getting margin called.
The guy who bankrupt casino got his wishes from the Fed, it will be game over if recession happens.
After PM’s reassurance Dignity has been shooting up. It is quite a sad state but seems it is a better hedge than gold or Gov. bond.
Ps: BA boss says airlines facing crisis like no others and IAG is up 8.5% ! Unbelievable
“ I do the ego round ere.
Behave”
I second that !
Thanks for update, am working today, can’t watch tv ! Quite scary going through potentially full blown crash . Lots of bargains out there, waiting for calmness in market in next few days to jump in .
Thanks a lot Velo !
Didn’t know this, I knew about limit down in commodities and futures.
“ The Dow is set up so as not to allow flash crashes again and will stop trading if necessary.”
How is that work? Is there a mechanism to prevent each share goes down from certain percentages? Cause in flash crash virtually no buyers exist. As far as I know limit down is not imposed on shares.
I got quite a few and am down ~80p a share, roughly a low 5 figure lose. Have no plan to sell even if goes to 68p. I am an income investor (not retired though), to me it is like a property investment and the tenant pays me 6.5% annually. However, seeing the crash of 2008, I think BT is here to stay and is a safer investment than property, that’s why I am not bothered with low price right now. When prices goes back up, I will only think about selling if there is better paying share with lower risk.
“ That’s the phrase I was looking for”
That’s spirit Toff! Despite your lack of intelligence to understand analytical text, you have improved your English by reading velo’s posts. Keep practicing, you may find a partner some day :)
"so like all your rhetoric it has no substance."
Fleccy don’t give these idiots your time. Let’s see how long they last before they get wiped out using their genius “gut feeling “ plans. Market is full of rag to riches to broke stories. Who knows, they may be already broke, just wasting their miserable life posting nonsense on BB.