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Market Comment - June '20

June 2020

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.

Last month we highlighted that since mid-March, trading volumes in the US reduced as the global bounce progressed - loss of momentum was clearly visible. But last Monday (18th May), some stock markets rose as much as 5%. The big news was of another miracle cure, this time from Moderna. It escaped the notice of those charging in that the drug had been tested on a grand total of eight people - but let’s not spoil a good story with detail. This kind of silliness keeps informing us that the bottom has not been seen for markets - over-optimism and denial are still evident.It was the same message from news of record buying of options by small traders - taking bets that the market will keep heading higher. The source of this data no ...

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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.

All material on this website is protected by copyright. You may use Information retrieved from the www.scsw.co.uk website for your own personal non-commercial use which means that you may not sell or copy this information to any third party without prior written consent. ISSN 1358-183X

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