Wednesday 13 May 2009

The FTSE rally

True, the recent FTSE rally doesn't look like much relative to the huge losses in 2008, but nevertheless, the index is up 35 percent since early March.

Strange how the rally overlaps with quantitative easing.

5 comments:

Anonymous said...

sucker rally

Anonymous said...

And 1/2 percent interest rates for savers. You can get 5% betting on utilities stocks.

mike said...

Stock market to bounce between 4000 and 4500 for a quite a while is my prediction. Greedy people selling around 4500 before re-buying below 4000. Foolish people just keeping hold of their stocks whilst inflation eats away their investment.

Man in a Shed said...

The problem is banks are lending out at say 9% and giving 0.5% interest to build up their capital reserves ( as I imagine the BoE intends ).

Those who don't want this stealth transfer of wealth from their wealth to the government/banks are buying stocks in desperation perhaps ?

AC said...

I'm sure the Zimbabwe stock market is up every day ! Strange that the millionaires of Zimbabwe are so ungrateful ?