The commodity boom is having a correction - may take until late 2009, early 2010 before global markets regain confidence. The Chines have paid hefty prices of late and they are not laughing. I guess neither are we. IMO, GDP figures around the world will decelerate now. We are looking at 2.25% in 2009 - very low compared to many years now. This is a buy and hold market now where you re-invest the divvies and wait, wait and wait more, and if you're lucky, buy more.
Any investment now which provides a good 3 - 5% above inflation looks pretty good now after tax....the bounces will come, but it's tough when their is no money circulating.
It's much depper than I though earier on this year.
This is where the ability to recognise value in balance sheets, P % L statements, costs/benefits etc comes into play. The gambling premium is gone.
