Millwallawayveteran1988
Well-Known Member
- Joined
- 23 Sep 2010
- Messages
- 42,223
Reporters are always good at predicting things after it has already happened when it comes to markets. The number of articles recently on “how to protect your portfolio etc etc”…..I didn’t read any of these articles in September last year when it was on the up!Ian King of SKY has a gloomy outlook
Signs of worst year for stock market investors in a decade after Wall Street slips into bear market and Bitcoin crashes
The slide of the S&P500 into bear market territory highlights the extent to which investors in some of America's biggest companies are now pricing in a much gloomier economic outlook.news.sky.com
The FTSE100 has held up relatively well this year due to most of its biggest constituents being made of Oil and Gas, Mining, pharmaceuticals and Banks. All sectors that have performed well and all global companies with heavy dollar earnings.
Look beneath and overseas and it’s a completely different story.
FTSE250 - down 20% YTD
FTSEAIM All Share - down 25% YTD
Dow Jones - down 17% YTD
S & P 500 down 22% YTD
Nasdaq - down 32 %
CAC 40 (France) - down 17%
Dax (Germany) - down 17%
Nikkei 225 (Japan) down 9%
CSI 300 (China) down 14%
To add to the problem, bonds are down heavily too as inflation and perceived interest rate rises have hit the value of bonds, particularly those with long dates.
Generally speaking I find it better not to panic and make rash decisions when markets have periods like this. Heart sometimes rules head and it’s tough. Being diversified is key and ensuring you don’t overload with one style (such as technology).
Scottish Mortgage which all the papers were lauding a year ago is down 47% YTD.