Who believes in markets? Not me

The Northern Rock fiasco is enough to shake anyone's confidence, but recent developments in the mining sector show that ...

December 12, 2007

The Northern Rock fiasco is enough to shake anyone’s confidence, but recent developments in the mining sector show that irrational behaviour is not confined to obscure financial instruments.

The diggers of the world (BHP, Rio…) have seen their shares jump 50% or more this year.

Based on what, exactly?  Anyone who thinks that stock markets value fundamentals is frankly just potty…

My advice is to put your money in fine wine or fine art.  It’s much more ‘real’ than iron ore.



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