China and India are growing by 11.2% and 8.9%, respectively.
The World Bank predicts China will grow by 9.6% this year.
The world economy is still in expansion phase with above average growth.
Australia's resources are still in high demand.
Unemployment is at a record low of 4.4% in Australia with companies still hiring.
Consumer confidence is high.
Businesses are flush with cash after years of record profits.
When inflation is taken into account, global commodity prices are coming off 200 year lows.
Market falls of more than 20% are often an indication the market is close to rock bottom. Recent history suggests that when a market falls, the bulk of the sell-off occurs early as people try to realise any gains they still have. Since 1991 there have been four 20%+ falls and every one of them was a precursor to strong gains. The January 22 market fall was the fifth time this has occurred, and hindsight may soon show us it was indeed yet another good buying opportunity....and it looks like it was.
