Share prices plunge as traders fear recovery was too quick

[cd27]

As has been said before, the stock market has predicted 5 out of the last 0 recoveries,

Share prices plunge as traders fear recovery was too quick - Stocks & Markets, Business - Independent.ie



Nouriel Roubini provides a far more realistic analysis than the cheerleaders in the mainstream press.

[Cael]

It was criminal that the state did not buy the banks when they were trading at 12 cent a share. That really shows how leinster house is just a weapon of the ruling elite to beat the people of Ireland.

[sandar]

what we are having is a suckers bounce, the capital injected into the market by world governments filters through causing a short term rally, butr confidence is not really restored, so the effect on the fundamentals of the ecnomy is neglible, and then the second wave of the downturn happens...its the flaw of the keynesian system......but brown doesnt care...because the suckers rally might carry on until the next genreal election.......

[cd27]

Confidence or some other trick is not what's needed, sound fundamentals are required.

[orbit]

It was criminal that the state did not buy the banks when they were trading at 12 cent a share. That really shows how leinster house is just a weapon of the ruling elite to beat the people of Ireland.

What makes you think that bank shareholders would have sold their shares for 12 cents each, or 24 cents or whatever? If the state tried to buy the banks then the share price would have rocketed. And even if they succeeded, it would have been dead money, contributing nothing to the banks' capital base.

[sandar]

sound fundamentals actually occur when confudence is genuinely high, because only when people are confident that they will stay employed will they spend more of their wages creating more jobs to make the fundamentals better.
Its the great dillemma of political economy.

[Legion]

they had a slight dip yesterday, and at the moment are positive, and up 30% in some cases on recent lows, do not see any plunge, I would see it as a reflection of a stalling upward momentum, Macro news yesterday did not help

[constitutionus]

the ECB telling us the combined possible default across europe could top half a trillion probably didnt help either !

im betting on the market falling again by sept. for all the cheerleaders i think were looking at 5yrs of pain at least before we get out of this. cowan can take his 2010 and shove it.

[Gimpanzee]

A bit of perspective is required. After all thats what you're claiming the mainstream press is missing, isn't it?

First line of the article you referenced : Share prices dropped by their biggest amount in over a month. That's a month.

And the press doesn't get anymore mainstream than the Indo.

There will be a significant correction, when and how significant, well, who knows. Whether this is the start of it, nobody knows either.

[kerrynorth]

the ECB telling us the combined possible default across europe could top half a trillion probably didnt help either !

im betting on the market falling again by sept. for all the cheerleaders i think were looking at 5yrs of pain at least before we get out of this. cowan can take his 2010 and shove it.

The Irish economy is going nowhere before the deadline of the next GE in mid-2012. While Cowen and the Greens cower together in the hope that something will turn up in the next 3 years to save their skins I have news for them - it ain't coming! Just 3 years of increasingly tougher budgets and escalating deficits as the live register tops 600k.