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You’ve been on holiday for a week……Don’t worry, you haven’t missed much!!! (gulp).
What a week.
So what exactly happened?
Markets were so volatile it felt like a mini credit crunch.
After falling at the back end of last week, they tumbled like there was no bottom on Monday.
Retail/amateur investors hit panic mode (sell sell sell) whilst many institutions and wise old men- bought bought bought.
Volatility has been extreme.
There are a few reasons, but the main two were the recession fears in the US, and the great unwind of the carry trade in Japan.
It’s hard to comprehend quite how big the carry trade is, but with interest rates globally looking like they’ll be coming down, the appeal for the carry is less.
What a week.
Same again next week?
Let’s hope not.
Have a safe end to the week everyone, and I hope you bought the dip!!!
