amideislas

To the casual observer, one might think everybody lost a fortune in the past week.

But I can assure you, there are plenty who've made a bundle in the past week. To a day trader, volatility is your friend.

bigglesworth

Very true. From my days as a merchant, my first lesson though was that, like a lot of things, you need to start on the right foot.
But I am no longer atrader. Now I only look at the long term. Strange, as ones personal time horizon shrinks, I think you take a longer view.

InVinoVeritas

I know a few day traders and they can't make money when there is high volatility. As one of them said "we need some breeze to sail the financial oceans but a force 12 hurricane will always shred our sails"

amideislas

Well put.

But I have to believe more than a handful pocketed handsomely when they (their algorithms, actually) sold at the open, and rebought at 1100 points down. It was, after all, very predictable that some kind of rally would result in subsequent hours.

InVinoVeritas

You may need to start crossing something else, Biggles - it's not looking nice out there

bigglesworth

Well I may be ahead of the curve but I do not believe that China has a major implication for the UK, except inmsofar as it incrases Europes woes.
The bit that sticks out that and makes no sense to me is that a slowdown inb China cannot be anything but bad for Europe, especially Germany. So Euro strength on this is strange?

bigglesworth

Aha IVV
Here come the cavalry
Morgan Stanley issues 'full house' buy alert for stocks - Telegraph

bigglesworth

Swiftly followed by the Loan Arranger!
[url]http://www.telegraph.co.uk/finance/economics/11845194/Nouriel-Roubini-dismisses-China-scare-as-false-alarm-stuns-with-optimism.html

GeniB

Umm isn't that what I said in my post?lol Glad he agrees with me.seems to me it's the 'nip in nano second ' traders who are causing the panic.Those get rich quick kids with zero knowledge.(I won't say parasites .oops I said it )

InVinoVeritas

A growth rate of 7% is starting look overly optimistic for 2015 and more pundits are now doubting the Chinese statistics bureau. The drop in imports and exports announced by China today would suggest the situation is actually worse than current GDP figures suggest. Imports fell for the 12th straight month and exports for the 4th. Deflation seems to be a reality and maybe recession is just around the corner.

What say you, people?

EMR

Tbe head of the CBI today in an interview commented that the revised downward fircasts for UK were influenced by the situation in China.
Not just reflecting a reduction in exports growth to China but to all the other economies who will deckine as Chinese growth reduces.

bigglesworth

To be fair EMR, Mr Carney and his acolytes would be better advised to examine the entrails of dead animals to forecast what is happening in the world economy than whatever statistical model thay are currently using.

Beaverstate

Iv'e read several private economists saying 3 to 4% is reasonable and likely.

bigglesworth

I've always liked Hamish McRae, who seems more reflective than many of the economics commentators. Not sure why he stayed at the Independent.
But here is his bit on China
Bank of England may be overdoing its China worries | Analysis & Features | Business | London Evening Standard

InVinoVeritas

It's beginning to look China's sneezing is going to give everyone a cold now