Friday, 9 February 2018

Dead cat bounce

Have a look at a few stock market graphs....

See the little uptick at the end of the long declines before it goes back down again? That's called the dead cat bounce. So-called, because dead cats don't bounce back up.

It should be pretty clear the world's markets are over-valued and going to have to crash. If they are this jittery at the mere prospect of a base rate rise, how will they react to an actual rise; followed by another rise, and then another, and so on until the base rates get back to normal?

Badly,  I reckon.

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