Tuesday, 4 May 2010

So how is Mr Market covering the Election?


This election thing in the Uk is going really well for the markets, as the prospect of a hung parliament hardens to reality the markets have taken a real dive. I can't see much point in betting on a FTSE rebound in this short-week, bar a Conservative solid majority on Friday which would require the pollsters to be very wrong in thep prognostications. Some cash today invested in a short FTSE ETF for me.

14 comments:

Antisthenes said...

The FTSE 100 tends to reflect opinion not of the UK but that of the world in general as the bulk of the earnings of the listed companies does not come from the UK. Some of the sentiment in the market may be centered on the outcome of the UK election but more on the worry of things elsewhere. With the state of western economies at the present time perhaps they feel as I do that the future of world trade is looking less rosy. The underlying fear being that western states are going to collapse one by one under the burden of there being still too much debt that people and institutions will be more and more reluctant to fund or not even have the capacity to fund.

James Higham said...

How will the markets take 10 or 12 seats short?

CityUnslicker said...

Anti - of course, but the UK election is a major event that is having an effect. The Greek crisis is tied into this too - debt default is nearly as real for the UK as it is for the PIGS.

CityUnslicker said...

JH - I don't think the market will like it if Cameron has to do a deal with the Lib Dems - after all the Lib Dems have gon on a mad anti-markets crusade in their manifesto.

Steven_L said...

I'm currently larging it. First London now Berlin.

Was talking to some banksters down Canary Wharf the other day, they just reckoned 'sell in May'.

They didn't have any particular reason to 'sell in May' other than 'sell in May'.

They do Duvel on tap in pints down there too - great stuff!

Fausty said...

On the plus side, Goldman Sachs has taken a kicking. It lost billions in a week, and has dropped £10 in the past week.

More, please. :)

CityUnslicker said...

Not a bad call to start the day, ftse now of 2.5%!

Andrew B said...

I sold.

My limit was smaller than it could have been (:

My magic number to rebuy is 5352 (magic as in not based on any real science so if you do the same based on this comment, well, you did not deserve the money in the first place)

Sitting out for the rest of the week.
Probably will buy thurs night if the wind blows fair.

Budgie said...

All my shares down: lost 10% in 4 weeks. Oh well, part one.

Philipa said...

What result would see the £ rise against the euro the most?

CityUnslicker said...

Budgie - 2 of my biggies have reall popped, i am down 10k this week!

Don;t know why either have suddenly decided to crash, MNR and IAE.

My short FTSE position does not cover anywhere nearly enough.

Audrina Majella said...

I also think that election really helps the market for some reason the candidates makes a lot of effort to make the market grow during election. Its like giving the best business modeling in days like that.

Audrina Majella said...

I also think that election really helps the market for some reason the candidates makes a lot of effort to make the market grow during election. Its like giving the best business modeling in days like that.

businessresourcesvault said...

That would be great, makes a bunch of help indeed. Even for those who have investment in Africa, it will be easier for them to see and view it.