Again, not wishing to being a 'the end of the world is nigh' prophet, just an observation that it could be time to sell your risk down.
When the War in Ukraine started, I went to cash in my 401k/pension fund/superannuation.
The markets didn't react as I expected so, I went back into International stocks/shares.
My largest personal holding is in an oil company
When Janet Yellen started raising US Rates and World Inflation started to spike and I'm back in cash as of about 3 weeks ago.
---
Mortgage demand falls to the lowest level in 22 years amid rising rates and slowing home sales
Key Points
- The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($647,200 or less) increased to 5.40% from 5.33%.
- Applications for a mortgage to purchase a home fell 7% for the week and were 21% lower than the same week one year ago.
- Refinance demand dropped 6% for the week and was down 75% year over year.
Mortgage demand falls to the lowest level in 22 years
A US example, but echoes around the world.
snubbs, maybe sell down your property portfolio
OECD doubles 2022 inflation forecast in 38-nation group to 8.5%
The OECD warned Wednesday that the world economy will pay a "hefty price" for Russia's invasion of Ukraine as it slashed its 2022 growth forecast and projected higher inflation.
The Paris-based organisation, which represents 38 mostly developed countries, is the latest institution to predict lower GDP growth due to the conflict, which has sent food and energy prices soaring.
In its latest economic outlook, the Organisation for Economic Co-operation and Development said global gross domestic product would grow by three percent in 2022, down sharply from the 4.5 percent estimated in December.
OECD doubles 2022 inflation forecast in 38-nation group to 8.5% - World News
Last one ...
World Bank warns recession 'hard to avoid' and Ukraine war creating a 'perfect storm'
The World Bank has warned the hopes of averting recession for all countries will fade the longer the war in Ukraine continues.
Key points:
- The World Bank has dropped global growth rates to 2.9 per cent, down on the 4.1 per cent it had predicted in January
- The sharp downgrade for the world's economy is also based on the potential return of "stagflation"
- The agency also predicts 3 per cent global growth for2023 and 2024
World Bank president David Malpass said for many countries "recession will be hard to avoid."
The agency has now predicted the world economy will expand 2.9 per cent this year, but that's down on the 4.1 per cent it had forecast back in January.
The sharp downgrade for the world's economy is also based on the potential return of "stagflation" — a toxic mix of high inflation and sluggish growth unseen for more than four decades.
Ayhan Kose, director of the Prospects Group at the World Bank, said geopolitical tension, combined with interest rates rising and COVID disruptions, could create a "perfect storm".
"When you put the three of them together, if those three risks materialise, we can easily find ourselves in the midst of a perfect storm," Mr Kose said.
"That type of storm will push the growth rate this year to 2 per cent and next year, at the global level, 1.5 per cent.The agency doesn't foresee a much brighter picture in 2023 and 2024: It predicts just 3 per cent global growth for both years.
"When you have a growth rate at the global level around 1.5 per cent, that means you are in a very serious, severe downturn."
World Bank warns recession '''hard to avoid''' and Ukraine war creating a '''perfect storm''' - ABC News
The NaGastan citizens should have taken out a fixed rate, maximum mortgage on their property and bought NaGastan MIC stocks.
The other 157 countries will survive as usual.
The recession was already baked in, their illegal sanctions was the icing, for the 16%. The other 84% will survive as usual.
A tray full of GOLD is not worth a moment in time.
The Dow Jones Industrial Average tumbled below the key 30,000 level on Thursday as investors worried the Federal Reserve’s more aggressive approach toward inflation would bring the economy into a recession.
The major averages has suffered steep losses this week.
The S&P 500 is down 6.6%, pulling back more than 24% from its all-time high from early January.
The blue-chip Dow is off by 5.2% this week, and the Nasdaq has fallen 6.7%.
The S&P 500 and Nasdaq Composite are both in bear market territory, down roughly 24% and 34% from their all-time highs in January and November, respectively, as rampant inflation and fears of slowing economic growth weigh on investors.
The Dow, meanwhile, is about 19% below its Jan. 5 all-time intraday high.
Dow drops more than 700 points to break below 30,000 as recession fears deepen
I'm still not impressed with this crash. Another 15-20% and then I'll pay attention.
I didn't know that the central banks were stupid enough to believe believe that they could raise rates. I thought they were just going for broke. Pedal to the metal until the end. If they are dumb enough to raise rates then we'll get a crash alright
Possibly another 10% - 15% to the downside from here. Recovery will not be V shaped as per 2020 (Covid). A protracted U shaped recovery over 2-3 years.
No point rushing in to buy the dips. Dollar cost averaging will be the way to go.
Could be something in that Icey.
Apparently, referencing the US Market the average Bear Market is about a #30% decline.
On average, bear markets have taken 13 months to go from peak to trough and 27 months to get back to breakeven since World War II.
The S&P 500 index has fallen an average of 33% during bear markets in that time.
The biggest decline since 1945 occurred in the 2007-2009 bear market when the S&P 500 fell 57%
This guy is one of my go to guys when I want creditable, 'big picture' financial information.
Mohamed El-Erian, University of Cambridge Queens’ College president and Bloomberg Opinion columnist, says Federal Reserve President Jerome Powell must address past, present and future issues in his speech at Jackson Hole.
The oracle, Warren Buffet is great. But he's largely static, preaching the basics of investing, value investing superbly.
Where Mohamed El-Erian is more dynamic, more reactive to the changing events.
Why I like his dynamic element is because I manage my Super/Pension/K41 Fund, as in Cash/Bonds/Local Shares/International Shares, cycling my money through the various options based on how I view the Market.
I'm in Cash ATM
Jesus David that’s a lot to be losing sleep over.
Take your cash today and put it in a Vanguard index fund, if you do not have a Vanguard account just buy VAS on the ASX
Don’t play with it just leave it until you retire - I’m guessing 12-15 years.
Very few people beat the market by their own research, same as most professional advisors.
C'mon lads keep on topic I am trying to teach Newbie Dave.
There are currently 1 users browsing this thread. (0 members and 1 guests)