I think BNB will bounce back quickly. This has only happened because of Freddy and Fanny saying they are having a hard time with their home loans in the US. Woop! Woop! That will blow over in no time with the assistance package!
I could be wrong, but I don't believe the shorters are having a go at BNB or the banks atm. I think the big boys are ramping them down in order to go long in time for the reporting season. If the US banks report they are ok now then a finance lead bounce is on the cards. It only needs oil to drop also and the bulls are out.
From what I hear, US exports are booming, so maybe things aren't as bad as we are lead to believe and the reporting season will reflect that.
The amazing thing about the market is how quickly it can turn around. This always seems to happen when you are not expecting it. Like when the doomsdayers are predicting the end of the earth.
November 4 is the US election. I think Bush would like the sharemarket to recover somewhat before the election. We all know Bush is an oiler. If he wants the oil price down before the election then it will go down. The other oilers will listen to him including the Saudis. So I am predicting a recovery by Nov 4.
BNB
babcock & brown limited
