rather than pick out individual stocks to trade, it can often be worthwhile to trade the indices themselves, especially in times of high volatility.

for those so inclined, i attach below charts for FTSE and FTSE 250, though one might equally be tempted to trade Dow or S&P, which is significantly broader in its coverage, or even NASDAQ

for ease of reading, i have attached 1 year and 3 month charts in each instance

the markets as always have been contrary ..... arguably, yesterday was just a bit of overdue profit-taking, though the market has been directionless for some time ..... more relevant that "hinted stimulus" should be the realisation that US is now coming in with consistently encouraging economic news

for sure there are still some big economies (india and china etc) still struggling (all relative), but with chemical shipments most assuredly on the upswing, the indicators are loud and clear - always subject to israel not getting totally out of its tree in relation to iran

HARRY,

If you are in business, you understand that you have the key to your buisiness. Most of them are using making money like never before as there is no new competitor came to the market over the last three years.

Many companies disappeared due to tight money market, but banks are more careful and serve them well, check Tomas Cook...

How can Mr. Bernanke change the whole world?

Off course you can find some directors stupid or see benefit from bankrupting their company. But most of them are more careful than ever before and are in good shape.

I agree with you both, but often there is a kneejerk reaction to statements made by the guys at the top (Ben Bernanke & Mario Draghi etc). Of course this is a short term move and is often over hyped by The Press, but if it presents a trading opportunity then bring it on!

"How can Mr. Bernanke change the whole world?" He can't, but he can point it in the right direction, which the rest of us can't do. Isn't that one of the responsibities of leadership?!!!

Cynic,
Regarding likelihood if Israel attacking Iran; I think this is over hyped by The Press "again".

Yesterday, Iran's leader denied having any interest in making nuclear bomb again. Enriched uranium at much higher levels is needed for some medical applications and Iran always talked about peaceful applications only. Iran has many other problems now, even paying money for food and medicine is difficult due to the sanctions. Note that, Iran has never attached any country since the First World War.

Unfortunately, Iran's president talks like a stupid child. He was not really elected by Iranians, as we all know. We should note that the army (both the official army and revolutionary army) is under the leader, not the president. The president is like a toy in Iran, he cannot even choose his ministers without leader's prior endorsement.

Israel knows that they will not gain anything from attacking Iran. Some people may get marginal gains on playing with exchange rates and stock market. I don't think they have enouph power to trigger a war given that Obama and the rest of the world want to put pressure on Iran.

ahoj - i'm inclined to agree with you and certainly sabre-rattling for domestic political impact often has little relationship with reality .... however, as i have posted before, it is certainly far from impossible that israel (usa!) will use much more subtle methods of disabling iran's nuclear programme - e.g. cyber attack

I think Russia, India and China are benefitting from the conflicts with Iran, especially the sanctions.

75 million young and rich guys live in the country. The West is losing such a large market. I heard 50% of Porsche cars exported to the Middle East in 2011 were sold to Iran. This cannnot happen anymore, Chineese made products, cars like Chairman will do well.

don't understand the point you are trying to make ..... if it's about rich kids in m/e, it is the kudos of owning lambos, ferraris, veyrons etc that counts ..... a chinese chairman hardly has the same cachet!

You are right, but when new lambos, ferraris becomes too costly for them, due to overcharges by the smugglers, they will have no choice but to buy something else.

The market for the West will be lost for long long time. China loves it anyway.

don't be ridiculous ..... no need to smuggle ..... they'll just nip across to UAE and buy there and ship across to Bandar Abbas

Yep, They have been doing this for years, but UAE restricted bank accounts, work visa for Iranians, etc, so Russia, India and China milking Iran.

Weidmann resignation report turns up heat on ECB's Draghi

FRANKFURT | Fri Aug 31, 2012 11:00am BST

(Reuters) - German central bank chief Jens Weidmann's reported threat to resign has piled pressure on European Central Bank President Mario Draghi to assuage his opposition to a new bond-buying plan without tying it up in so many knots it is rendered ineffective.

Bernanke may hint at stimulus without boxing Fed in

JACKSON HOLE, Wyoming | Fri Aug 31, 2012 10:01am BST

(Reuters) - Federal Reserve Chairman Ben Bernanke will likely acknowledge the U.S. central bank is actively considering another round of monetary easing in his keynote Jackson Hole speech on Friday.

But the Fed chief could disappoint fidgety financial markets if he stops short of signalling another bond-buying program is imminent, which many analysts say is a strong possibility.

what a silly day ...... assuming it all holds together, i have recouped every penny that got dumped yesterday, yet nothing has changed

Nothing has changed??? It's the Mitt Romney feelgood factor! DOW futures +112 atm. Don't you just love the same old cr*p from the american pre-election steam train? Sound bites, photo ops, cuddly kids & bodyguards in mirror shades, all seemingly pure as the driven snow!

U.S. markets shut today, I think, for a bank holiday.

It is Harry: Labor Day - sort of a misnomer for a day off!

good morning mistress ..... as you will have noticed, am now back from my jolly in alsace ...... some interesting FRENCH moselle wines (much fresher than their german counterpart) and also from luxemburg, which unfortunately did not get a chance to try

GBP Manufacturing PMI 49.5 consensus 46.1 previous 45.2

So Cynic: everyone round to your house for a wine tasting?

Sounds great. I'll bring some cheese & baguettes. Satnav ready to receive instructions!