SharperDingaan Posted October 9, 2011 Share Posted October 9, 2011 We cannot imagine that this is just us ..... But has anyone else noticed that the real money a value investor will make in this market will be simply by trading their position, reducing cost bases to almost zero, & just parking the gains in cash/index puts? Case in point. Last week, the S&P/TSX Index rose 8.95% off its low - on nothing better than 2-3 days of press report respite on the news from Europe. Dexia was bailed out this weekend, & tonight Merkel/Sarkozy negotiate on how the EFSF fund will be used. Of course, the 11 billion Euro capital raise that BNP Paribas & Societe Generale will otherwise require has nothing to do with it? http://www.reuters.com/article/2011/10/09/us-eurozone-idUSTRE7953D520111009. And neither do the highly likely significant unrealized losses sitting in Deutsche Bank &/or the Landesbanks ? So why on earth would you expect that last weeks S&P/TSX Index 8.95% is going to hold - if ONLY these two banks, need to raise even HALF their 11 billion requirement? We live in interesting times! Link to comment Share on other sites More sharing options...
given2invest Posted October 9, 2011 Share Posted October 9, 2011 hindsight is 20/20 Link to comment Share on other sites More sharing options...
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