Interesting day on the market today. Again, more divergence from the ASX and the US - while America went up overnight in response to the pretty savage 'correction' in the past few days, Australia started that way but couldn't really hold on to the gains. At the moment, we are looking flat today despite being up by 1% this morning.
To me the issue is a combination of fundamentals and sentiment. While valuations may not have changed, the prices have been overly optimistic on future growth. And sentiment now seems to have turned - there is a lack of buyers even at these depressed prices. This could be a slow grind for the ASX...
