Global Markets Capitulating to Pending US Recession?

Well, whatever the case is, stock markets around the world sold off something fierce last night/this morning. They all looked to have dived at least 3%, with the FTSE and Hang Seng down more than 5%. Supposedly, the world’s investors are saying bullocks to the announced US fiscal stimulus proposals. Not that I know any better, but it smells like panic to me.

I’m spending the day researching my watchlists, which was already getting full, and may have to open positions “sight unseen”, based on incomplete research. Whether we are headed for recession or not, I’m not convinced it will be the end of the world (wait a few years, maybe 2011, 2012?). Perhaps the one adjustment I’ve made is raising my expectations. Instead of looking for solely for undervalued stocks, I’m getting greedy and waiting for stuff to get cheap.

Brazilian and Canadian markets still open and not looking pretty, down 6.6% and 4.4% respectively. The Asian and European markets will be interesting to watch tonight and we’ll see how the US market opens tomorrow. If it’s bad, we may get some opportunities to load up, even in the face of a bear market.

More on this topic (What's this?)
Pre Market - August 17th 2007
World Markets Weekend Review: Big DAX Rebound
Read more on FTSE 100 Index (FTSE), Hang Seng Index (HSI) at Wikinvest

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