DOW finished up 57 after being down 130 at one point. So volatility is back, which is not what was wanted.
Bob Parker, speaking before the DOW bounced, said he expected further risk for rest of March and April. Directors have not started buying their stocks yet. He expects a temporary weakness in US econmic data and a further rise in defaults on subprime mortgages. Market shold trade moderately lower, i.e. another 3 - 5% and any recovery from May onwards will be muted over the 2nd half of the year. We shall see !
On the DOW, brokers and big banks turned around mid-day and led the market back up. Some more experts on CNBC recommended buying bigger banks and brokers.
I'll be looking at III again tomorrow, it seemed to me the fall today was overdone and disproportionate to the rest of the market,but it will no doubt gap up in the morning. Let's see what the Asian markets get up to overnight.
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