Market Comment

Market Comment - January 2012

January 2012

Investing in shares may lose you all or some of your money. Past performance is no indication of future performance. Some of the shares recommended here may be small company shares, which can be relatively illiquid and hard to trade and this makes such shares more risky than other investments.

Hungary and Greece are on the brink and the euro is in freefall. Why aren't stock markets much lower, fearing the contagion that has long been feared? Three significant positives have occurred.First, a massive intervention by the ECB. Effectively the banks within troubled eurozone countries (particularly Spain and Italy) are being forced to buy their own government’s bonds, with money that they're borrowing from the ECB at just 1%. Up to a point this has been successful, but, for example, Italian 10 year bond yields are still 7%. They simply can't afford 7% yields as a long-term feature. Nonetheless without the ECB intervention, yields might be closer to 10% and equity markets 20% lower, at least.Second, the sig ...

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Market Comment - January 2014 (January 2014)

Market Comment - December 2013 (December 2013)

Market Comment - November 2013 (November 2013)

Market Comment - October 2013 (October 2013)

Market Comment - July 2013 (July 2013)

Market Comment - July '12 (July 2012)

Market Comment - June '12 (June 2012)

Market Comment - May 2012 (May 2012)

Market Comment - February 2012 (February 2012)

Market Comment - December 2011 (December 2011)

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Market Comment - August 2011 (August 2011)

Market Comment - July 2011 (July 2011)

Market Comment - June '11 (June 2011)

Market Comment - May '11 (May 2011)

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Market Comment - March '11 (March 2011)

Market Comment - February '11 (February 2011)

Market Comment - January '11 (January 2011)

Market Comment - November '10 (November 2010)

Market Comment - October '10 (October 2010)

Market Comment - September '10 (September 2010)

With small companies there is an above average degree of risk compared to buying blue chips. Please be aware that we have not assessed the suitability of any of these investments for you. The newsletter simply states a personal view and diarises the editor’s investment decisions. Please speak to your stockbroker or other qualified individual to ascertain whether any of these companies mentioned would form useful additions to your own portfolios. Past performance is no indication of future success.

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