I'm feeling a jangle in my spine that all the international bad news is out now and factored into prices and expectations. Maybe there is a bit more bad news to come, but North and South America, Western and Eastern Europe, Japan and China, Australasia and South Asia. Hey - is there bad news from Africa? I guess with the resources boom ending I just didn't hear about it there. I guess there could be more bad news from Europe or China, but it would have to be a shocker to move things from where they are now.
So I feel things will not get much worse in the short term. I do feel we could have a two or three year rally and then possibly fall in a heap again, as the stimulus packages will probably be reduced too awkwardly, before the non federal government sectors have sorted themselves out.
I could eat these words soon - but do not think I will.
I'm back to hold on CER - I'm diversifiying into other things.
CER Price at posting:
4.5¢ Sentiment: Hold Disclosure: Held