RE: Over-reaction ?20 Jan 2016 18:55
I guess I must be a bit thick because I cant understand the big price drop. Forget for the moment the recent trading statement and picture me standing at the door of my local Wetherspoons pub. If I was to shout "Chinese stock market and price of oil have both collapsed" how many people would leave their drinks and go home? Most people would think "Good, now the price of petrol and home heating bills should fall so I can afford another pint or 2" As for the increased wages having an effect on profits, the Wetherspoons pubs in my area are all ways crowded because of their low prices. They could increase prices by a penny or 2 and still be the cheapest and busiest pubs in the area. Buy now and rake it in in a month or 2 when sanity returns.