Royal Bank of Scotland Says "Sell Everything"

[RunningBum]

except high quality bonds.

Markets are heading for a 'cataclysmic year' in 2016, warns RBS - Jan. 12, 2016

... the bank's red flags for 2016 -- falling oil, volatility in China, shrinking world trade, rising debt, weak corporate loans and deflation -- had all been seen in just the first week of trading.

"We think investors should be afraid,"

The end is here!


Buy signal?

 

[Big_Hitter]

Buy signal?

big time - I was watching those idiots on squawkbox this morning while I was working out made them switch it to matt lauer

 

[braumeister]

RBS?
Now there's a credible source of financial advice.

 

[marko]

big time - I was watching those idiots on squawkbox this morning while I was working out made them switch it to matt lauer

You're implying that Matt was less idiotic than Squawkbox?

 

[nun]

I read the RBS statement in the Guardian this morning.....almost spat my coffee out....the numerologists and prognosticators are at it again.

 

[athena53]

I read the RBS statement in the Guardian this morning.....almost spat my coffee out....the numerologists and prognosticators are at it again.

Just before the end of last year, a BBC podcast on forecasts for financial markets in 2016 included an interview with an astrologer. She claimed to have predicted the housing markets crash and its impact on the markets in a book she published before it happened. Her prediction for 2016: a big drop on January 6, followed by recovery which would last till February 14.

Personally I want to hear what the Fibonacci Queen says next time she's on Cramer.

 

[mickeyd]

RBS traders make money when their folks sell.

They also make it when their folks buy.

No money to be made in stay the course? (Where do the investors park their yachts?)

 

[Nemo2]

RBS?
Now there's a credible source of financial advice.

Or Incredible :

RBS timeline: where it all went wrong - Telegraph

 

[braumeister]

Or Incredible :

RBS timeline: where it all went wrong - Telegraph

Oh, that article barely scratched the surface.

RBS has already squandered every penny of its £46bn bailout | Daily Mail Online

 

[Bestwifeever]

Having just seen The Big Short yesterday, I am disinclined to believe any bank's advice.

 

[Nemo2]

Oh, that article barely scratched the surface.

RBS has already squandered every penny of its £46bn bailout | Daily Mail Online

Wow...and that's just what was [-]unearthed[/-] reported.

 

[MichaelB]

Didn't RBS make a similar "sell everything now" call a few years ago?

 

[6miths]

Yes but they're definitely right this time...

 

[papadad111]

Just before the end of last year, a BBC podcast on forecasts for financial markets in 2016 included an interview with an astrologer. She claimed to have predicted the housing markets crash and its impact on the markets in a book she published before it happened. Her prediction for 2016: a big drop on January 6, followed by recovery which would last till February 14.

Personally I want to hear what the Fibonacci Queen says next time she's on Cramer.

Louise Yamada?

 

[pjm-7]

So someone has their kilt in a knot! Why should we care?

 

[athena53]

Royal Bank of Scotland Says "Sell Everything"

Louise Yamada?

Carolyn Boroden. I think the Fibonacci series is pretty cool, but I'm not going to use it in my investment strategy.

 

[pb4uski]

RBS?
Now there's a credible source of financial advice.

+1 Those morons can't even run their own business competently and they expect people to believe their market prognostications? Do they think we are stoopid?

 

[Chuckanut]

Royal Bank of Scotland Says "Sell Everything"

Assuming the RBS is right, we must immediately reunite with England in order to avert economic and social disaster. Time to learn how to spell colour and pronounce 'alumunium'.


The worst decisions are made when angry or impatient.

 

[Fedup]

I thought they were a little late.


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[38Chevy454]

Assuming the RBS is right, we must immediately reunite with England in order to avert economic and social disaster. Time to learn how to spell colour and pronounce 'alumunium'.


The worst decisions are made when angry or impatient.

I guess I will have to get used to drinking warm beer, putting air into my vehicle's tyres and checking the engine oil level once I open the bonnet.

I agree with your last statement.

 

[btdt22]

Cataclysmic?

RBS is forecasting a cataclysmic drop of 10 to 20%. If I recall correctly it takes a 20% drop just to make it a bear market

 

[audreyh1]

With another 10% drop, we will make the definition of a bear market, as we are already down ten.

With another 20%, we'll hit around down 30%, which is still slightly less than the average bear market drop which is 32-34% down ball park.

Not quite as much, because we are dropping a percentage from a lower number. But good enough for hand waving.

Nevertheless, it's hard to call it catastrophic as it's not nearly as bad as the 2008 bear market credit crisis combo which had many bonds hit hard as well.

 

[braumeister]

Well, back in June of 2010, the same guy said:

"We cannot stress enough how strongly we believe that a cliff-edge may be around the corner, for the global banking system (particularly in Europe) and for the global economy. Think the unthinkable," he said in a note to investors.

Wonder how that worked out for him?

 

[Running_Man]

Well, back in June of 2010, the same guy said:

Wonder how that worked out for him?

Well in June 2010 bank stocks had the following price:

JPM 37.62
BAC 15.00
C 37.90

In October of 2011 they had the following price:

JPM 30.60
BAC 6.00
C 24.73


June 2010 was when the FED was ending QE1 and in November of 2010 the FED realized as RBS had that the financial system was in serious distress and announced QE2, at the same time Japan, and Britain announced their own QEso I would say that he actually got that call right.

For anyone who would mock this call, do not blame RBS for making this call if the market falls 40%. The argument they are making is that financial pressure that are being scoffed at are causing real issues. I just wonder how the Sovereign wealth funds in oil countries that hold over 5 trillion in financial assets are supposed to fund their countries monthly obligations without selling financial assets? How is China supposed to fund outflows of 170 billion a month. I think RBS just approached this as a mathematical question as a result of their algorithms and hated what they saw.

 

[Fedup]

Royal Bank of Scotland Says "Sell Everything"

A lot of people are in cash back in 2014. I'm just saying they maybe a little late. They should be a little more accurate since they are professionals.


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