Just following KKR's comments about Anvil share price slump on...

Just following KKR's comments about Anvil share price slump on TSX.

Recently suggested TSX is very volatile - ASX more stable with Anvil shares being tightly held.
Today is more evidence of this situation.

Also recently suggested mid October could see Anvil shares at the lowest and that the low point may well coincide with release of Contract Review.
Hopefully this will be close to the mark - but only guessing.

Below extract from Yahoo Canada which may also endorse KKR's comments. --------




Thursday's sell off wiped out more than $100 billion in stock value of companies listed on Canada's biggest market and continued a wave of volatility that has beset the market in recent months over fears of a global recession.

"Today's action is a bit stupefying," said Bob Tebbut, with Toronto-based money manager Peregrine Financial.

Some market watchers called Thursday's selloff an overreaction, but they acknowledged that panick has taken hold of some investors - intensifying daily market moves of several hundred points up and down.

On Monday, the Canadian market had its biggest point drop ever after the U.S. House of Representatives rejected a US$700 billion bailout plan for insolvent Wall Street banks. The next day the market recovered sharply and has been bouncing all over the place in recent trading.

"It's definitely scaring the pants off everybody," said Vincent Delisle, a strategist with Scotia Capital.

"Big and small, mutual fund managers, retail investors, everybody has a feeling right now that they have to be scared because the markets are very vulnerable and the news flow is horrendous.

"Even in Canada where we really don't have issues with our banking system or financials, credit conditions are tightening and everybody's backing up on projected spending, investments. . . . I don't think many people have seen this intensity of pessimism and uncertainty."

Adding to that uncertainty were several negative economic developments Thursday that triggered the selloff, one of the biggest in TSX history.

First, plunging factory orders and a seven-year high in jobless claims in the United States stoked fears that the U.S. government's rescue plan won't be enough to ward off a serious recession.

Some observers warned that the current slump could be the most painful since the 1981-82 recession that was triggered by interest rates skyrocketing about 20 per cent as central banks fought to tame double-digit inflation.

At that time, the jobless rate rose to about 11 per cent in the United States, nearly twice the current rate, and the economy shed hundreds of thousands of industrial jobs in the steel, auto and other industries.

Also fanning the flames of pessimism Thursday, was a negative outlook on oil, fertilizer, metals and other commodities from Merrill Lynch, the world's largest brokerage.