It is 11 O’Clock the FTSE 100 is up 63 points at 5935. You could say that ‘faint heart never won fair lady! I LOVE IT! Last year the likes of JP Morgan and RBS could not get enough of equities. Now many of them are the prophets of doom – 2016 could be a cataclysmic year! I see no point in piling on top of existing pain. There is little in the way of contrition for varying judgement! It’s as Doris Day sang all those years ago in the film ‘A Man Who Knew Too Much!’, with James Stewart – “Que sera! sera! Whatever will be will be!”


At present we are experiencing a correction for a compendium of reasons. China is down 9% since the start of the year and most US and European markets are down between 6-7%. Considering there is no inflation and little wage inflation, which to me is far more worrying than a setback with Chinese banks on a long term basis, equities have behaved with some dignity.


This morning we started off in a rather sedentary manner – fairly flat. However once it became clear that some retail stocks had excelled and outperformed expectations, the FTSE selected another gear. Debenhams leapt out of the traps +15%, Morrison +10% and Boohoo +9% – all results were much better than expected. Tesco in anticipation of results on Thursday joined in all the fun of the fair – +6.5% and Burberry +3.5% (Thursday as well). Sainsbury added 2.5% ahead of Wednesday’s update. There seems to be some strong evidence of ‘shorts’ being closed out! You live by the sword; so you must die buy it!


This was no day for small share price movement – closing out of many ‘shorts’. You were part of the ‘in’ crowd or you were out of it! Page fell 8% with a dispiriting update. Just Eat – again travelled and arrived – down 4% having been down 6% early doors. Greggs, though good numbers were posted had travelled and arrived – down 8% – talk about the market venting its spleen. McBride – what good numbers! – +5%. Shire, post its news about acquiring Baxalta, having shed 7% yesterday, put on 1.4%. As for sectors oils were up 1%, though Tullow was down 5%. Drugs were up 1%. Mining was mixed – Anglo American +3%, BHP -2%. Banks regained a little poise +1%. Enjoy the roller-coaster ride! I suspect today is a bear squeeze’ rally!


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