Fire sales. Seems to be a fire sale on the whole market today, caused by panic over interest rate increases. If so, then some people are dumber than you could possibly imagine. Interest rate increases happen because the economy is strengthening, not weakening. What do share prices do when interest rates go up? Let's take a look:
2005-7 - rates up from 1% to 5%, S&P 500 up from 1200 to 1500.
1998-2000 - rates up from 4% to ~7%, S&P up from 1250 to 1450.
1994-5 - rates up from 3% to 6%, S&P up from 440 to 560.
and down?
2007-8 - rates down from 5% to 0%, S&P down from 1500 to 500.
2000-4 - rates down from 7% to 1%, S&P down from 1450 to 800.
IMHO, this bull market has at least 12 more months to run, and today's sellers will be badly burned. Trump's excellent energy policies are a critical component, but not the only good thing happening. OK, we've had a big run up, and corrections are often pretty painful, and every bull market has them, but I really don't think the bull run is over.. NB. That's just my opinion.
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You say "no debt....SXY!". Spot on. When interest rates rise, that certainly does matter.
Waitsia, page-5
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$1.54 |
Change
0.015(0.99%) |
Mkt cap ! $3.501B | |||
| Open | High | Low | Value | Volume |
| $1.51 | $1.55 | $1.50 | $10.73M | 7.023M |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 2 | 25391 | $1.53 |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| $1.54 | 39714 | 3 |
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